C. V. Nagarjuna Reddy, J.

( 1 ) WHETHER the business activities being carried on by the petitioners attract the provisions of Prize Chits and Money Circulation Schemes (Banning) Act 1978 (for short "the Act") and whether the action of respondents 3 to 6 in interfering with the activities of the petitioners by invoking the provisions of the Ad is arbitrary, are the questions which fall for consideration in these two writ petitions.

( 2 ) THE resume of facts in W. P. Nos. 20470 and 20471 of 2006:

( 3 ) PETITIONER No. 1 is a private company with unlimited liability registered under the Companies act 1956 having its registered office at C-3, quatab Institutional Area, New Delhi. It is the wholly owned subsidiary of Amway Corporation, united States of America and is engaged in manufacture/marketing of its various products through a network of distributors. Petitioner No. 2 in W. P. No. 20470 of 2006 and all the three petitioners in W. P. No. 20471 of 2006 are distributors of the 1st petitioner. The 1st petitioner approached Government of India, ministry of Industry, Department of Industrial development with an application dated 2. 6. 1994 to convey approval of Government of India for

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