( 1 ) THE validity of Rule 36 of the Spirituous and Medicine Preparations Rules 1345 F. framed under the Hyderabad Abkari Act No. 1 of 1316 F. is impugned in these petitions.

( 2 ) THE petitioners manufactured medicines containing, inter alia, alcohol, opium and other narcotic drugs. Tney have been carrying on this business for some years. In ihe year 1955, the Parliament passed the Medicinal and Toilet Preparation (Excise Duties) Act (Act XVI of 1955) (hereinafter refered to as the Act) to provide for the levy and collection of duties of excise on medicinal and toilet preparations containing alcohol, opium, Indian hemp and ether narcotic drugs. This Act came into force in the State of Andhra Pradesh an 1/04/1957. Before this date, the petitioners ware given a pharmaceutical laboratory licence under the provisions of the Hyderabad Abkari Act. Subsequent to the Act, the petitioners were granted licence under the provisions thereof for manufacturing marines with contents of alcohol, opium etc. on condition that they should pay duty at the rates specified in the schedule annexed to the Act. For the preparation of these medicines, the State Government supplies alcohol at c