JUDGMENT

AHMADI, J.:—This batch of cases raises questions relating to interpretation of Regulations 8 & 9 of the Customs House Agents Licensing Regulations, 1984 (hereinafter called the Regulations) made by the Central Board of Excise & Customs under sub-section (2) of section 146 of the Customs Act, 1962. In the Writ Petitions filed under Article 32 of the Constitution, the petitioners have questioned the constitutional validity of the aforesaid Regulations which enjoin the securing of at least 50 marks out of 100 for the oral test on the ground that it gives arbitrary powers to the authorities to pick and choose the candidates. This contention is based on this Courts decision in Ajay Hasia v. Khalid Mujib Sehravardi, (1981) 2 SCR 79. Before we state the factual background it may be advantageous to read the relevant Regulations.

2. Regulation 2 defines the various expressions used in the Regulations. The expression "Customs House Agent" means a person licensed under the Regulations to act as agent for the transaction of any business relating to the entry or departure of conveyance or the import or export of goods at any customs station. Regulation 4 provides for inviting applications for the grant of a licence to act as a Customs House Agent. It says that the Collector may invite applications in the month of January every year for clearance work within the jurisdiction of the said collectorate. Regulation 5 prescribes the form in which the application shall be made. It is clear from this Regulation that the application can be in the name of an individual, a partnership firm or a company incorporated under the Companies Act. Regulation 6 lays down the conditions to be fulfilled by the applicant. One of the conditions to be satisfied is that the applicant has the experience of work relating to clearance of goods through the customs for a period of not less than one year and is financially viable. That brings us to Regulations 8 & 9 which we extract for ready reference :

"8. Grant of temporary licence.- Any applicant whose application is received within the last date specified in Regn. 4 and who satisfied the requirements of Regns. 5 and 6, shall be permitted to operate as Custom House Agent at the customs station for which the application is made initially for the period of one year against temporary licence granted by the Collector in this regard in Form B :

Provided that when evidence is produced to the Collector that the applicant has already availed of two chances for qualifying in the written or oral examination prescribed in these regulations and would like to avail of the third chance as soon as the next examination is held in terms of Regn. 9 and that the applicant has been able to account for the minimum volume of work prescribed for such agents in the course of one years working, the Collector may extend the aforesaid period of one year for which the temporary licence has been granted by another six months or such further period not exceeding one year to enable the applicant to avail of the third chance for qualifying in the examination in terms of Regn. 9. While granting such extension, the Collector of Customs shall satisfy himself that the requirements of Regns. 10(1)(a) and 10(1)(b) had been fully met by the applicant.

9. Examination of the applicant.-(1) The holder of a temporary licence in the case of an individual and the person or persons who will be actually engaged in the work of clearance of goods through customs on behalf of the firm or company holding a temporary licence, as the case may be, shall be required to qualify in examination at the earliest opportunity. Such person or persons shall be eligible to appear in the examination as soon as a temporary licence is granted and shall be permitted to avail of three chances within a period of 2 years from the date of issue of the temporary licence on payment of prescribed examination fee of Rs. 250 for each examination.

(2) The examination referred to in sub-regu