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TMI Blog1991 (12) TMI 262X X X X Extracts X X X X X X X X Extracts X X X X ..... osed in the public interest. Appeal dismissed. - C.A. 2280 OF 1981 - - - Dated:- 6-12-1991 - RAMASWAMY, K., FATHIMA BEEVI, M. AND YOGESHWAR DAYAL, JJ. ORDER K. Ramaswamy, J. 1. The appellant has been exhibiting cinematograph films at Dhuri, on a licence having been granted by the District Magistrate, Sangrur, the 2nd respondent, under Section 5 of the Punjab Cinemas (Regulation) Act, 1952, for short 'the Act' and the Rules. By proceeding dated February 26, 1975 the 2nd respondent classified the seats for admission into four classes and fixed the rates of admission to the respective classes. The appellant impugned as ultra vires of the power of licensing authority in this behalf and also contended that it offends its right to carry on the business under Article 19(1)(g) of the Constitution. It equally questioned Rule 4 of the Punjab Cinemas Rules and condition 4A of the condition of the licence on that score. The learned single Judge declared the action to be ultra vires of the power and offend Article 19(1)(g). On appeal in L.P.A. No. 913/80 dated April 3, 1981 the division bench reversed the judgment and upheld the power of the licensing authority. It also h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... licensing authority". The licensing authority will enter the number of persons to be admitted into the several parts of the Auditorium having special regards to the provisions of Rule 24. (emphasis supplied) 5. It is settled law that the rules validly made under the Act, for all intents and purposes, be deemed to be part of the statute. The conditions of the licence issued under the rules form an integral part of the Statute. The question emerges whether the word regulation would encompass the power to fix rates of admission and classification of the seats. The power to regulate may include the power to license or to refuse the licence or to require taking out a licence and may also include the power to tax or exempt from taxation, but not the power to impose a tax for the revenue in rule making power unless there is a valid legislation in that behalf. Therefore, the power to regulate a particular business or calling implies the power to prescribe and enforce all such proper and reasonable rules and regulations as may be deemed necessary to conduct the business in a proper and orderly manner. It also includes the authority to prescribe the reasonable rules, regulations or condit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t the rule was beyond the power of the State Government under the A.P. Cinemas (Regulation) Act 1955 and that it placed unreasonable restriction on the fundamental rights of the petitioner therein violating Article 19 of the Constitution. The division Bench (to which one of us K. Ramaswamy, J. was a member) rejected both the contentions and upheld the Rule 12(3). While approving the ratio therein this Court laid down :- the power to regulate includes the power to restrain, which embraces limitations and restrictions on all incidental matters connected with the right to trade or business under the existing licence. Rule 12(3) regulated entry to different classes to the cinema hall and it was within the rule making power of the State Government to frame such rule. The court further held that fixing limit of rate of admission was an absolute necessity in the interest of the general public and the restriction so placed was reasonable and in public interest. On these findings the court upheld the validity of the rule. We are in agreement with the view taken by the Andhra Pradesh High Court. 7. Witnessing a motion picture has become an amusement to every person; a reliever to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ences issued in this behalf. There is no compulsion to construct a cinema theatre, but by undertaking to construct a theatre to exhibit cinematograph films therein, the owner created a right in the cine going public, to have an easy access to the theatre. Thereby the private property of the owner is effected with public interest. It, thereby, ceases to be juris private and is clothed with public interest. When used in a manner detrimental to public interest or welfare it would affect the community at large. By using the owner's property as theatre he/it submits himself or itself to the regulations for common good. The public acquire, thereby, direct and positive interest in exhibition of cinematograph films. Undoubtedly, in a private contract hedged with no public interest, the state has no power to regulate its trade but is subject to general law. The right to fix the rates of admission is not an unbridled power or right but by implication is subject to the regulation under the Act, rules and conditions of the licence. The owner/licence, has no unrestricted power or freedom to fix rates of admission at his whim. Therefore, fixation of rates of admission, though has, its inception ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ese conditions resulting obviously in the sale of tickets at inordinately higher prices to the public should be made a cognizable offence, can it possibly be said that the fixation of the price of cinema, tickets and their fair availability to the public in general is an object beyond the scope and ambit of the statute. It appears axiomatic to us that exhibition and licence of every business or calling would include within it the power to fix reasonable prices in accordance with the provisions thereof unless there are specific restrictive words to the contrary which are conspicuous by their absence in the present Act and the Rules framed there under: the original order of the licensing authority in 1971 was expressly made in the interest of the weaker sections of the society for whom a slightly lower classification of seats was sought to be made at the rate of 80 paises. Similarly, the subsequent order of the licensing authority in 1976 was again directed towards the availability of cinema tickets at fair prices to cinema goers. It would thus be apparent that both the assailed orders were sought to be made in the interest of the public and in particular the relatively weak ..... X X X X Extracts X X X X X X X X Extracts X X X X
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