4 in relation to certain goods that are said to have been removed between 13 8 1986 and 23 8 1986 and excise duty of Rs.
3 lakhs was levied and demanded.
Hence this appeal by special leave.
On 4 12 1987, the Additional Collector of Central Excise adjudicated in a proceeding arising out of show cause numberice issued under Section 11A of the Central Excise Act to respondent No.
3 but had to pay the dues to the Department and thereby dismissed the writ petition.
1,04,586.17 and penalty of Rs.
In the writ petition several companytentions were raised, including the question that the liability is only that of respondent No.
4, The appellant in his letter to the Department companytended that it had numberliability to pay the excise dues of respondent No.
However, the said amount was paid.
The Department number having acceded to it, a writ petition was filed in the High Court challenging the recovery proceedings initiated by the Department.
The High Court disagreed with these submissions and took the view that in terms of the said Rule, it is open to the Department to proceed against the plants and machinery of the owner from whom it was transferred and made it clear that it is open to the appellant to agitate against the erstwhile owner respondent No.
4,07,291.75 pursuant to the adjudication order made against respondent No.
An Industrial unit run by M s. Diamond Marbles Pvt.
A letter was sent by the Central Excise Department to the appellant demanding a sum of Rs.
4 and number of the appellant that appellant having taken over the unit from the third respondent, had numberliability to pay the excise dues that Rule 230 2 of the Central Excise Rules, 1944 has numberapplication to the present case.
4 was brought to sale in terms of Section 29 of the State Financial Corporation Act 1951 for short, the State Act by Rajasthan Financial Corporation respondent No.
Ltd. respondent No.
Appellant before us participated in auction and its bid having been accepted took possession of the said unit on 28 8 1987 pursuant to the agreement entered into between them.
