JUDGMENT :- This petition raises questions about the licensing under the Industries (Development and Regulation) Act, 1951, of an industry that converts base paper into adhesive stamp paper.

2. The petitioners are a limited company and have a plant in Nasik. The plant was set up in 1969 for the processing of base paper into art and chromo paper and board and laminated paper.

3. On 19th Feb., 1970 a notification' was published by the Union of India, the 1st respondent, in exercise of power conferred by Sec.29-B(1) of the Act. Thereby the 1st respondent exempted from the operation of Secs.10, 11 and 11-A of the Act the industrial undertakings therein mentioned. Clause 2(vi) of the notification provided that no industrial undertaking would be liable (eligible?) for exemption if it related to any of the industries listed in Schedule II annexed thereto. Item 30 of the Sch. II mentioned paper conversion products. The petitioners then applied for an industrial licence under the Act. On 29th July, 1970 the petitioners were issued a carry-on business (C.O.B.) licence by the 1st respondent under the Act. The licence stated that the petitioners would have an installed capacity of 900 tonnes per

Click Here to Read the rest of this document