Radhakrishanan, J.

Writ petitioners challenge the constitutional validity of subsection 1(a) to Section 4 of the Kerala Chitties Act, 1975 introduced by the Kerala Finance Act 2002 (Act 7 of 2002) with effect from 01.04.2002 as beyond the legislative competence of the State Legislature and also prayed for a declaration that the same is unconstitutional, void and violative of Articles 14 and 19 (1)(g) of the Constitution of India. Petitioners have also sought for a writ of mandamus directing the Union of India to exercise its powers under Section 1(3) of the Chit Funds Act, 1982 (Central Act) to notify that Act within the State of Kerala. Learned single Judge rejected the prayers of the writ petitioners and dismissed the writ petitions, against which these appeals have been preferred.

2. Before examining the above mentioned prayers we may trace the history of both the legislations, Kerala Chitties Act, 1975 as well as the Chit Funds Act, 1982 and the provisions contained therein for a proper appreciation of the contentions raised by the writ petitioners. Articles 245 to 255 of the Constitution of India deal with legislative powers of the Union and the States. Entries in Li