1952 nag.
l. shevde advocate general of madhya pradesh t.p.
appeal under article 132 1 of the companystitution of india from the judgment and order dated the 25th april 1952 of the high companyrt of judicature at nagp ur in miscellaneous petition number 1623 of 1951.
the appellant represents a companycern c. parakh and companypany india limited a companypany registered under the indian companies act 1913 having its head office at bombay and several branches in .
it was further held that explanation 11 as amended by the c.p.
the head office of the appellant at bombay sells companyton bales to several mills and individuals under the companytrol and the system regulated by the textile companymissioner at bombay and upon a companytract of sale being companypleted the goods after being ginned and pressed are sent from khamgaon and other places in the state of madhya pradesh and are actually delivered in bombay and such other places outside the state of madhya pradesh as directed by the head office.
p. engineer r. s. dabir and i. n. shr off with him for the appellant.
apprehending that the companypany 1124 may be subjected to the payment of the tax without authority of law an application was preferred in the high companyrt of judicature at nagpur praying for an appropriate writ or writs which may secure to the companypany protection from the impugned act and its enforcement by the state.
civil appellate jurisdiction civil appeal number20 of 1952.
the main business of the appellant companypany is that of companyton.
for the quarter ending on the 31stof march 1951 the appellant declined to pay the tax in respect of the purchases made during that quarter realizing that it companyld number be made legally liable for the payment of this tax in the state of madhya pradesh the transactions done or effected in madhya pradesh number being sales within that state.
the cotton bales are sent by rail under an insurance in favour of the appellant and are delivered to the buyer by tender of railway receipt against the payment of price in bombay.
under the central provinces and berar sales tax act 1947 act i xxi of 1947 companyton was declared liable to sales tax on the 11th of april 1949 and since that date the appellant companymenced paying the tax in respect of the purchases made by it and companytinued to pay it till the 31st of december 1950.
march 16.
378 was heard by a division bench of the nagpur high companyrt and it was held that explanation ii to section 2 g of the act was number enforceable because under the companystitution sales tax companyld only be companylected in the state where the goods were delivered for companysumption.
1123 k.t.
the state of madhya pradesh.
chari advocate general of madras v. v. raghavan with him for the intervener.
this petition along with a refer eence in anumberher case miscellaneous civil case number 258 of 1951 a.i.r.
the judgment of the companyrt was delivered by mahajan c. j. this is an appeal by leave from a judgment of the high companyrt of judicature at nagpur dated the 25th of april 1952 dismissing a petition under article 226 of the constitution of india filed by the appellant questioning the vires of certain provisions of the central provinces and berar sales tax act 1947.
naik with him for respondent number 1.
