Judgment

DUA, J.: These two appeals by special leave are directed against the order of a learned single Judge of the Bombay High Court dated February 26, 1970 setting aside the order of discharge dated April 29, 1969 made by the Chief Presidency Magistrate, Bombay in case No. 121/P of 1969 under S. 120-B. I.P.C. read with S. 7. Essential Commodities Act and S. 7 of the said Act against the appellants. In the trial court there were four accused, (accused no 1 being Messrs. Century Spinning and Manufacturing Co., Ltd., Bombay, running textile mills manufacturing cotton textiles, and the other three being respectively, the President of the Executive Committee of the Mills who is in over-all charge of production, the Vice-President (Works) controlling the production of cloth manufactured by the mills and authorised to sign statutory returns required to be submitted by the mills to the Textile Commissioner and other authorities, and the Resident (Executive) of the two companies (M/s. Udyog Services Ltd., and M/s. Shree Services & Trading Co). which were working as a liaison agency between the textile mills, the first accused, and the Textile Commissioner at the material time, i.e. between October 20, 1964 and June 20, 16. Of these two appeals one has been presented by the Century Spinning & Manufacturing Co. Ltd., and the other by the remaining three accused persons. The Company runs textile mills and as in the correspondence with the Textile Commissioner it is generally described as the Mills, we will hereafter call the appellant no, 1 as the Mill.

2. The material facts necessary for our purpose lie in a narrow compass. In the opinion of the Chief Presidency Magistrate they were mostly a matter of common ground between the parties. In this Court, however, certain differences did appear between the rival versions given at the bar, but being on minor points they do not affect the broad material features of the case. The relevant facts necessary for understanding the real controversy may briefly be stated:

3. The mill manufactures, inter alia, dhotis of a brand known as Param Sukh and it is admittedly governed by the provisions of the Essential Commodities Act, 1955 (hereafter called the Act). Cotton and wollen textiles are included within the definition of Essential Commodities as contained in S. 2 of the Act Section 3 (1) empowers the Central Government, if it is of opinion that it is necessary or expedient so to do, for maintaining or increasing the supplies of any essential commodity available at fair prices, to provide by order for regulating or prohibiting the production, supply and distribution thereof and trade and commerce therein. Sub-section 2 (a) of S. 3 authorises the Central Government by an order made under sub-section (1), to regulate the production or manufacture of any essential commodity.

4. In 1946. The Essential Supplies (Temporary Powers) Act, 946 (XXIV of 1946) was enacted to provide for the continuance, during a limited period, of powers to control the production, supply and distribution of, and trade and commerce in, certain commodities. Under S. 3 of this Act the Central Government, so far as it considered necessary or expedient for maintaining or increasing the supplies in any essential commodity or for securing their equitable distribution and availability at fair prices, was empowered by order to provide for regulating or prohibiting the production, supply or distribution thereof and trade and commerce therein. The Central Government under this section, and an Order called the Cotton Textile (Control) Order 1948, which it is not disputed, has been continued in force under the subsequent statutory enactment replacing the said Act. The last statutory enactment continuing that Order is the Essential Commodities Act. Clause 20 of the Order empowers the Textile Commissioner from time to time to issue directions in writing to any manufacturer or class of manufacturers generally inter alia regarding class or specif