RAMANUJAM, J.

These two cases relate to the same assessee and involve the same point. The assessee is the Madras Port Trust represented by its Chairman. The assessee was periodically effecting sales through M/s. Murray and Company, Auctioneers, of unclaimed and unserviceable articles. For the assessment years 1964-65 and 1965-66, it has effected sales of such articles to the extent of Rs. 8, 20, 312.88 and Rs. 9, 76, 058.25 respectively. The assessing authority took the view that the sales of such articles effected by the assessee are taxable. In that view, it determined the taxable turnover of the assessee for the years 1964-65 and 1965-66 at Rs. 8, 06, 627.88 and Rs. 9, 62, 012.25 respectively after rejecting the contention of the assessee that such sales are not in the course of carrying on of a business activity as contemplated by the provisions of the Madras General Sales Tax Act, 1959 (hereinafter called as the Act.)

The assessee thereafter appealed to the Appellate Assistant Commissioner, but without success. On further appeals to the Sales Tax Appellate Tribunal, the Tribunal held that the assessee is neither a dealer as defined in the Act nor does it carry on any business activity in the commercial sense or with any profit-motive and that, therefore, the sales of unserviceable and unclaimed articles could not be brought to charge under the Act. Aggrieved against the order of the Tribunal, the State has come before this court.

It is contended on behalf of the revenue that the sales of unclaimed and unserviceable articles in question have taken place after the definition of "business" has been amended by Madras Act 15 of 1964 and that, therefore, whether or not the assessee has effected sales in the course of a business activity or with a profit-motive, the sales will become taxable in the light of the amended provision of the definition of "business" and that this position is clear from the decision of the Supreme Court in State of Tamil Nadu v. Burmah Shell Co. Ltd. According to the learned Government Pleader, the periodical sales of unclaimed and unserviceable articles by the assessee would partake the character of a business activity and, therefore, whether there is a profit-motive or not, the sales could validly be taxed.It is true that after the amendment of the definition of "business" by Madras Act 15 of 1964 all commercial transactions whether carried on with a profit-motive or not or whether or not any profit accrues from such transactions art included in that definition. But the question is whether the sales effected by the assessee can be taken to be commercial transactions so that they can be said to be "in the course of business". The assessee is a statutory body constituted for the purpose of performance of certain statutory duties by the provisions of the Madras Port Trust Act, 1905. The preamble to the said Act sets out the object of the Act as regulation, conservancy and improvement of the Port of Madras. Section 39 of the Act sets out the service to be rendered by the Port Trust in relation to all goods received or taken custody of by the Port Trust, either in the course of export or in the course of import. Section 42 provides the scale of rates for and the conditions under which any of the services specified in section 39 are to be performed. Section 44 states that the prior sanction of the Central Government has to be obtained for the scale of rates to be charged, and the conditions subject to which the services are to be performed. Section 51 creates a lien over the goods for the amount of rates leviable under the Act in respect of those goods. Section 56 empowers the Port Trust, after the expiry of a specified time, to sell by public auction, so much of the goods as may be necessary to recover the amount of rates remaining unpaid. Section 58-A also empowers for Port Trust to sell the goods which have not been removed from its premises within a limited time, by public auction, after givin