H. C. NARAYANAPPA AND OTHERS vs THE STATE OF MYSORE AND OTHERS.

The Supreme Court upheld the validity of a scheme under Section 68C of the Motor Vehicles Act, 1939, which excluded private operators from certain routes, affirming that Parliament has the competence to create monopolies under Entry 21 of List III of the Seventh Schedule. The Court ruled that the scheme does not infringe the fundamental right to carry on business under Article 19(1)(g) as it is a law made by the State under Article 19(6). Furthermore, the Court clarified that the scheme was approved for specific routes and not a broader area, thus not violating the equal protection clause of the Constitution.