B. VISWANATHIAH AND COMPANY AND ORS. vs STATE OF KARNATAKA AND ORS.

The Supreme Court upheld the validity of state legislation concerning the silk industry, clarifying that while the Central Silk Boards Act, 1948, governs production and manufacture under Entry 52 of List I, it does not preclude state legislation on raw materials under Entry 27 of List II. The Court emphasized that the state can legislate on the distribution of silk products, and the control vested in Parliament does not limit state powers regarding raw materials. The judgment distinguished I.T.C. Ltd. & Ors. v. State of Karnataka & Ors., affirming the validity of the state law unless it conflicts with central legislation.