1. - In this group of writ petitions, filed under Article 226 of the Constitution, the petitioners, who are licensees for the exclusive privilege of selling by retail country liquor, have challenged the validity of - (1) Section 42(e)(iii) of the Rajasthan Excise Act, 1950, (here in after referred to as 'the Act'); (2) Notification dated 25th May, 1985, amending the Rajasthan Issue and Sale Prices of Country Liquor Rules, 1964 (here in after referred to as 'the Issue Price Rules'); and (3) Conditions Nos. (1)(ga) and 22 (kha) of the Licences issued in their favour.

2. In response to the Notification issued by the Excise Commissioner on December 26, 1983 inviting tenders for the grant of licences for the years 1984-85 and 1985-86 to sell, in retail, country liquor at the various shops in Rajasthan, the petitioners submitted their tenders and were granted lincences which are in form C.L (I) G. prescribed by the Excise Commissioner under Rule 93 of the Rajasthan Excise Rules, 1956 (to be referred to in short as 'the Rules'), made by the State Government, in exercise of the powers conferred by Section 31 of the Act. The Conditions of the licence were prescribed earlier by the E