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Issues:
1. Renewal of gold dealer's license under the Gold Control Act, 1968. 2. Rejection of license renewal application based on low turnover. 3. Appeal process before the Collector, Central Excise, Allahabad. 4. Dismissal of revision by the Central Government. 5. Interpretation of Rule 3(ee) of the Gold Control (Licensing of Dealers) Rules, 1969. 6. Failure to consider the plea of illness as a factor for low turnover. 7. Quashing of the orders of the Collector, Central Excise, and the Central Government. Analysis: The petitioner, a gold dealer, applied for the renewal of their license under the Gold Control Act, 1968 for the year 1973-74. However, the Assistant Collector, Central Excise, Varanasi issued a show-cause notice citing low transactions as a reason for possible license cancellation. Despite the petitioner's explanations regarding the low turnover due to the illness of a partner and the limited role of another individual, the Assistant Collector rejected the license application. Subsequent appeals to the Collector, Central Excise, Allahabad, and a revision to the Central Government were also unsuccessful, leading to the filing of a writ petition challenging the decisions. The petitioner did not contest the low turnover but argued that the partner's illness and the limited role of another individual contributed to the situation. However, both the Collector, Central Excise, and the Central Government failed to consider these factors adequately. The court highlighted Explanation (I) to Rule 3(ee) of the Rules, which allows for a license to be granted even with low turnover if sufficient reasons are provided. The court found that the illness of a partner was a relevant factor that could justify the low turnover, which was not properly considered by the authorities during the appeal and revision processes. As a result, the court allowed the petition, quashing the orders of the Collector, Central Excise, Allahabad, and the Central Government. The court directed a rehearing of the appeal by the Collector, Central Excise, Allahabad, emphasizing the need to consider the illness plea and Explanation (I) to Rule 3(ee) properly. The petitioner was permitted to continue functioning as a gold dealer under an interim order until the appeal's final disposal, subject to fulfilling certain conditions. In conclusion, the judgment focused on the proper application of the relevant rules and the consideration of all factors, including the partner's illness, in determining the license renewal based on low turnover. The court emphasized the need for authorities to thoroughly assess explanations provided by license holders to ensure fair decisions in such cases.
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