JUDGMENT :

Wanchoo, J.

This is an appeal on a certificate granted by the High Court of Madhya Pradesh. The respondents filed a petition under Article 226 of the Constitution praying for the issue of a writ or order in the nature of prohibition and/or mandamus directing the Income Tax Officer and the State of Madhya Pradesh from levying or collecting income tax and/or any other tax from them for Financial Years 1956-57, 1957-58 and, thereafter, up to June 1958 with respect to income from the business of their Biscuit and Confectionery Factory at Gwalior and for certain other consequential reliefs. The case of respondents was that they intended to instal a factory for the manufacture of biscuits and confectionary at Bombay, but the Government of Madhya Bharat was anxious that the factory should be started at Gwalior and therefore passed an order on May 20, 1949 granting certain concessions to the respondents if their factory was set up in Gwalior. These concessions were:

1. No customs duty would be levied on the import of building and other material required for the construction of the factory, all machinery and its parts required in connection with the factory and raw materials, packin