Judgment

B. P. JEEVAN REDDY, J.:- In these appeals, validity of 5. 5 of the Opium Act, 1878 and of certain Rules made thereunder by the Madhya Pradesh Government is called in question. Though the Opium Act, 1878 has since been repealed by S. 82 of the Narcotics Drugs and Psychotropic Substances Act, 1985, things done under the repealed Act are saved and continued under 1985 Act. We shall first state the relevant facts.

2. The appellant-company obtained a whole-sale licence in Form No. I under Rule 5 read with Rule 6 of the Madhya Pradesh Poppy Husks Rules, 1959 in February and March, 1974. In the month of March, 1974, it entered into a contract with M/s. Veregngde Pharmacutische Fabricken B. V. Kloosterstreat boss Holland (hereinafter referred to as the Dutch buyers) for supplying to the Dutch buyer 1000 metric tonnes of poppy husks. This contract was entered into in pursuance of "certificate of official approval of import" dated April 5, 1973 granted by the Dutch authorities in favour of the said Dutch buyer to purchase/import 1,000,000 kilograms of poppy husks from the appellant on or before 31st August, 1974. The appellant in turn obtained the "Official authorisation of export" fr