I.D.Dua, J.

1. The main ground urged by the learned counsel for the petitioner is that the order of the Punjab Government dated 18-3-1960 according sanction to the sale of the whole of the resin from Government supply to Shiwalik Co-operative Resin and General Mills Limited, Gagret (District Hoshiarpur) respondent No. 2, is mala fide and is hit by the provisions of Articles 14, 19 (1) (g) and 39 of the Constitution. According to the petitioner, they and others, connected with this business, have invested no less than Rs. 1. 75 crores and if the impugned order is not set aside, their business would be ruined, because by this order the State Government has created a monopoly in favour of respondent No. 2. The decision of this writ petition is going to affect a large number of factories, which are doing this trade. Besides, certain important questions of constitutional importance arise for decision in this petition. Moreover, whichever party loses here, will go as a matter of right in appeal to the Letters Patent Bench. Under these circumstances, it would be desirable if this petition is heard by a Division Bench in the first instance. Let the papers be placed before my Lord the Chief Justice for necessary orders in this respect. It may be mentioned that since a stay order has been passed in this petition, it will be proper if this case is heard at an early date.

2. This writ petition has been referred to a larger Bench by Pandit J., on the ground that the decision in this case is going to affect a large number of factories doing resin business and also on the ground that the case raises certain questions of constitutional importance.

3. The petitioners Messrs. Partap Rosin and Turpentine Factory of Hoshiarpur, according to the allegations in the writ petition, consist of displaced persons who had migrated from what is now known as Pakistan at the time of the partition of the country in 1947. Resin, according to the writ petition, is a natural product and is extracted from the forests of Hoshiarpur and Kangra districts of this State, the annual production of which amounts to about 1,70,000 maunds. Out of this quantity, 90,000 maunds are extracted by the Forest Department of the Punjab Government from forests owned by the State and the balance of 80,000 maunds by independent contractors from the Jagirs situated in the two districts mentioned above. The resin produced in Jagirs virtually remain under the control of the Punjab Government because their disposal is controlled by permits granted by the forest Department. After partition of the country, in order to find ways and means of getting maximum contribution to its finances from the annual output of resin and also with the object of thereby rehabilitating displaced persons, the Government of East Punjab summoned a conference of displaced persons from West Pakistan connected with this trade prior to the partition. This was attended by the petitioners and others where an assurance was held out that if they started factories for processing the stocks of resin, they would get full protection from the Government which would sell its entire stock of resin to them by a public auction so as to afford to all persons interested in this business equal opportunity to purchase the same. Acting on this assurance, the petitioners started, to begin with, in 1948 ten small-scale industries for processing resin in Hoshiarpur district. Thereafter, 32 more factories were set up by them employing about 2000 workers. As a result thereof, the petitioners and others connected with this business invested nearly Rs. 1. 75 crores in the processing of resin as the enterprise involves construction of numerous buildings and installation of latest plants worked under expert guidance etc. Various factories were in consequence set up which are producing every year more than 9000 tons of resin and more than 24 lacs litres of turpentine oil; the quality of these commodities, so proceeds the petition, comp