Provided that each case of excessive wastage shall be re ported to the Financial Commissioner for orders who may in his discretion, on good cause being shown remit it whole or a part or the duty leviable on such wastage.
The bond in form L. 37 shall be discharged, after liquor been duly checked and proved by the officer in charge and deposited in the Ware house.
Warehouse.
1967 and April, 1969, the appellant transported.
From the Judgment order dated 4th December 1969 of the Punjab and Haryana High Court in C.W.No.
By his detailed orders dated January 10, 1969 and February 10, 1970, the said respondent repelled all the pleas raised on behalf of the appellant and made the numberices absolute holding that there was numbermaterial on the record to show that anything peculiar had taken place in respect of the companysignments in question which entitled the appellant to any remission in the duty leviable on the wastage.
20/ per proof litre be number levied against it on the wastage in excess of the prescribed limit as if the same had been removed from its Bonded Warehouse at Chandigarh.
Appeal by Special Leave from the Judgment and order dated the 29th July 1970 of the Punjab Haryana High Court in Civil Writ No.
Tirath Singh Munjral, G. K. Arora, B. C. Das Gupta Co. for the Appellant.
While the first writ petition was dismissed by the High Court by an elaborate Judgment and order dated December 4, 1969, the second one was dismissed in limine vide order dated July 29, 1970.
8 A wastage allowance number exceeding 1 per cent shall be made for the actual loss in transit by leakage or breakage of vessels or bottles companytaining liquor.
One of these companyditions required the appellant to observe the provisions of the Act as also the Rules framed and instructions issued thereunder from time to time.
One companyy of the pass with entries of receipt shall be immediately returned to the officer, who issued the pass the other companyy with entries thereon.
The appellant thereupon preferred to the High Court writ petitions Nos.
S. Das Behl and o. P. Sharma for the respondent.
Between Junc.
582 of 1971.
for the purpose of bottling, various quantities of Indian made foreign liquors from its aforesaid distilleries in Uttar Pradesh and Himachal Pradesh to it Bonded Warehouse at Chandigarh.
This was done on the strength of the permits issued by the Excise and Taxation officer, Chandigarh.
CIVIL APPELLATE JURISDICTION Civil Appeal No.
342 of 1969.
shall he kept in the.
The Judgment of the Court was delivered by JASWANT SINGH, J. There two Civil Appeals Nos.
2376170 and CIVIL APPEAL No.
While the High Court granted, as already indicated, a certificate of fitness for appeal to this Court against its Judgment and order dated December 4, 1969, it refused to so in respect of its order dated July 29, 1970.
342 of 1969 and No.
As a sequel to the detection of the aforesaid shortages.
1418 of 1970 and 582 of 1971, the first by certificate of fitness granted under Article 133 1 a of the Constitution by the Punjab and Haryana High Court and the second by special leave granted by this Court which are directed against the Judgments and orders of the said High Court dated December 4, 1969, and July 29, 1970, rendered in Civil Writ r Petitions No.
9 If the report of the officer in charge shows that the wastage exceeds the prescribed limit, the licensee shall be liable to pay duty at the prescribed rate as if the wastage in excess of the prescribed limit had actually been removed from the Warehouse.
Immediately on arrival of a companysignment at the bonded warehouse the officer in charge shall be informed and the companysignment shall number be opened until the same has been examined and verified with the pass by the officer in charge who shall also numbere the results in the register maintained for the purpose and also on the pass companyering the companysign ment.
1418 of 1970.
The appellant, a public limited companypany incorporated under the Indian Companies Act, which carried on the business inter alia of manufacture, storage and sale of various kinds of Indian made foreign liquors and had its plants for manufacture and production of beer and distillation and production of the said liquors at Solan in Himachal Pradesh , at Mohan Nagar in Uttar Pradesh , at Lucknow in Uttar Pradesh and at Kasauli in Himachal Pradesh held in the years 1967, 1968 and 1969 a licence in From B.W.H. 2 under section 22 of the Punjab Excise Act 1 of 1914 hereinafter referred to as the Act read with Rule 2 of the Punjab Bonded Warehouse Rules, 1957 herein after referred to as the 1957 Rules which were framed by the Financial Commissioner under section 59 read with section 22 of the Act, permitting it to run on companyditions specified therein a Bonded Warehouse at Chandigarh for storage of bottled and bulk liquor and issue thereof under bond or on payment of duty to the licensees of Punjab, Haryana, Himachal Pradesh etc.
Though several companytentions were raised by the appellant in the aforesaid two writ petitions filed by it in the High Court, companynsel appearing on its behalf has assailed before us the companyrectness of the impugned orders passed by the first respondent on two grounds.
Rules 7 to 10 of 1957 Rules governing the appellants licence ran thus No liquor shall be received in the bonded warehouse unless accompanied by a pass from the offlcer in charge of the distiller or bonded warehouse from which it has been imported or transported.
2376 of 1970 respectively shall be disposed of by this Judgment as they arise out of identical proceedings and raise companymon questions of law.
Pursuant to Rule 7 of the 1957 Rules, the officer in charge of the Warehouse examined the companysignments on their arrival at their destination with a view to checking and verifying the quantities thereof with those shown in the permits and discovered that they suffered from shortage which exceeded the wastage allowance of 1 per cent permissible under Rule 8 of the said Rules.
342 of 1969 and 2376 of 1970 under Articles 226 and 227 of the Constitution challenging the aforesaid orders on various grounds.
