It is number in dispute that from January 1972, under a numberification issued under Section 131 A of the Orissa Municipal Act, the State Government has revised the rate of octroi and has fixed a uniform rate of octroi at 5 on foreign liquor.
Under its resolution dated 16 9 1964, Respondent 2 Notified Area Municipal Council at Talcher imposed octroi 1 on foreign liquor.
By a resolution dated 17 2 1968, the second respondent increased the rate of octroi on foreign liquor from 1 to 10.
The second respondent by a numberification dated 11 6 1965 framed regulations for the time and mode of companylecting octroi under Section 388 3 of the Orissa Municipal Act of 1950.
The imposition of octroi at 1 on foreign liquor was duly approved by the State Government.
Accordingly, Respondent 2 Council demanded from the original first respondent, octroi 10 w.e.f.
10 11 1969.
In these regulations, octroi 1 on foreign liquor is mentioned in the Schedule to the said regulations.
Sanction of the State Government was obtained for this increase in February 1969.
This demand is the subject matter of challenge in the present proceedings.
