Abu Road municipality prior to 1956 was a part of the State of A Bombay and with effect from 1st November 1956, as a res.ult of the States Reorganisation Act of 1956, became a part of the State of Rajasthan. While within the State of Bombay the Abu Road municipality had prescribed octroi duty on cloth at the rate of 1.9 annas per cent ad valorem and the rate continued till it was varied after promulgation of the Rajasthan Municipalities Act of 1959. The rates in cities B A- like Jaipur were on the basis of weight. Judicial notice can be taken of the fact that the areas which now constitute the State of Rajasthan prior to independence of India were independent States of different dimensions and the local conditions and needs of the people inhabiting those areas considerably varied. There were 13 different Acts then in vogue governing the municipalities within that State. The Rajasthan c Municipalities Act was, therefore, introduced to consolidate and ~ amend the law relating to municipalities in that State. In February, 1962, the State Government by notification dated 13th February, 1962 issued under section 104 of the Act fixed the rate of octroi at 0.50 paise in place of 1.9 annas with effect from 15th February, 1962. By notification dated 10th of April, 1964, published in the Gazette on 20th of D August, 1964, the State Government in exercise of powers under section 104 of the Act revised the rates of octroi and so far as the municipal board of Abu Road was concerned, Item 62 of the Schedule provided the rate of 1 per cent ad valorem on cloth. This led to the -I challenge before the High Court. The learned Single Judge who dealt with the writ petitions relied upon the provisions of section 104 of the E Act as it then stood and came to hold that the provisions of section 104( 1) of the Act were valid but the notification in respect of the municipal board of Abu Road relating to cloth was bad. During the pendency of the appeals before the Division Bench of the High Court, sub-section (2) of section 104 was added by section 12 of the Rajasthan Municipalities (Amendment) Act of 1978. The Division Bench overF ... looked this amendment and reiterated the reasons of the learned Single Judge and dismissed the appeals by judgment dated 20th of December, 1978.
