T. Khande Rao And Sons And Etc. vs State Of Karnataka And Ors. on 14 September, 1978
In R.M.D.C.'s case, the question that arose before this Court and Supreme Court was, whether the Karnataka State Legislature (which was then called as Mysore State Legislature) having authorised the Parliament to legislate on the subject of "Betting and gambling" covered by Entry No. 34 of List II-State List-Seventh Sch. of the Constitution, can be said to have authorised the Parliament to legislate on the subject of "Taxes on betting and gambling' covered by Entry No. 62 of the same list. In this context, the Supreme Court had to consider the true scope and ambit of Art. 252 of the Constitution and the earlier law made by the Karnataka State Legislature on the subject of 'betting and gambling' and the later law made by the Parliament on the same subject. On a consideration of these questions, the Supreme Court ruled that what had been authorised by the Karnataka Legislature was only on the subject of 'Betting and gambling' covered by Entry No. 34 and not on the subject of 'Taxes on betting and gambling' covered by Entry No. 62 and in that view the Supreme Court rules that the provisions in the State Law in so far as they related to levy of tax did not become inoperative and void. But the observations made by the Supreme Court on the scope and ambit of Art. 252 and the earlier legislation made by the Karnataka Legislature on the subject of 'Betting and gambling' which had been surrendered to the Parliament are apposite for our purpose. At p. 597 the Supreme Court observes:-