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In District Collector of Hyderabad & Ors. v. M/s Ibrahim & Co. etc.(1) this Court considered whether the Sugar Control Order 1963 was protected under Article 358 and 359 because the President had declared that state of emergency. The Sugar Control Order 1963 was made in exercise of powers conferred by section 3 of the Essential Commodities Act. The order placed restrictions on sale and delivery by the producers. The Order also controlled the production, distribution of sugar by producers or recognised dealers. The Order regulated the movement of sugar at fixed price. The state of emergency was declared on 28 October, 1962. It was contended that on the issue of proclamation of emergency the State is, for the duration of the emergency, competent to enact legislation notwithstanding that it impairs the freedoms guaranteed by Article 19 of the Constitution. The State was also said to be competent to take executive action during the proclamation of emergency which the State would for the provisions contained in Article' 19 of, the Constitution be competent to make. In Ibrahim's case (supra) the State made an executive order. It was said "the executive action of the State Government which is otherwise invalid is not immune from attack, merely because a proclamation of emergency is in operation when it is taken". The Order of the State Government in that case was held to be contrary to statutory provisions contained in the Sugar Dealers Licensing Order and the Sugar Control Order. The executive action was, therefore, held not to be protected under Article 358 of the Constitution.