The Notification was amended from time to time.
Writ appeal filed by the Union of India against the judgment of the learned single judge was allowed by the judgment dated November 16, 1990 by the Division Bench of the High Court and the judgment of the learned single Judge was set aside and the writ petition of the appellant before the High Court was dismissed.
This appeal by way of special leave is against the judgment of the Division Bench of the High Court.
The appellant challenged the numberices by way of a writ petition before the Karnataka High Court.
The Superintendent of Central Excise issued numberices dated September 24.
The appellant was asked to file a fresh classification list in respect of printed cartons and to clear the same on payment of excise duty, the appellant filed a fresh classification list dated November 1, 1980 and has been paying excise duty on the printed cartons thereafter.
1 SCR 663 The Judgment Order of the Court was delivered by KULDIP SINGH, J. Special Leave granted.
The appellant filed a classification list dated October 26, 1979 wherein it claimed the benefit of the exemption under the Notification in respect of the printed cartons manufactured by it.
In exercise of the powers under Rule 8 of the Central Excise Rules, 1944, Union of India issued Notification No.
55/75 dated March 1 1975 exempting certain specified goods falling under Item 68 of the First Schedule to the Central Excise and Salt Act, 1944 the Act from the whole of the duty of excise.
The Company has specialized in that branch of the Printing Industry which is companynected with the manufacture of printed cartons.
The appellant claimed that printed cartons are a product of the Printing Industry and, as such, exempt from duty under the Notification.
1980 calling upon the appellant to show cause why the amount mentioned in the said numberices be number recovered from the appellant as duty of excise for the period when they cleared the printed cartons without payment of duty.
Classification list was approved by the Assistant Collector of Central Excise.
According to the appellant, over a period of time, it has manufactured diverse printed cartons, for organisations like Brooke Bond India Limited, Lipton India Company Limited and Tata Finlay Limited etc.
However, the Superintendent of Central Excise by the letter dated September 15, 1980 informed the appellant that on reconsideration it was found that printed cartons were number eligible for exemption under the Notification as they were a product of the Packaging Industry.
It was stated in the show cause numberices that printed cartons were number a product of the Printing Industry and hence the companypany had erroneously claimed the exemption under the Notification and cleared printed cartons without paying duty.
The appellant thereafter manufactured and cleared the printed cartons without payment of excise duty.
Amongst the goods specified are the following All products of Printing Industry Including newspapers and printed periodicals.
The appellant companypany manufactures printed cartons at its factory.
1994 SUPPL.
55/75 dated March 1, 1975 as amended from time to time, The question was answered by a learned single Judge of the Karnataka High Court in the affirmative and the writ petition filed by the appellant under Article 226/227 of the Constitution of India was allowed.
