Indian Kanoon - Search engine for Indian Law

17. As regards the aforesaid submission made on behalf of the Company, the Learned Senior Counsel for the petitioner contended that Article 166(3) of the Constitution of India merely lays down the power to the Governor to make rules for convenient transaction of the business of the Government of the State and the power of the State Government to frame such rules or guidelines is not traceable to the aforesaid Article but to Article 162 of the Constitution of India, but such power exercised by the State Government is subject to power of the Union to make laws under Article 73 of the Constitution of India in terms of Article 246.

27. It is now well settled that even if no law has been made specifically by the Parliament or the State Legislature under Article 246 of the Constitution of India, the executive power of the Union to make rules and regulations will extend to matters with respect to which Parliament has power to make laws under Article 73, and similarly under Article 162 the executive power of the State to make rules and regulations shall extend to the matters with respect to which Legislature of the State has to power to make laws.