As required under Section 58 A of the Act read with Condition No.2 of the License issued to the Company in Form I, the Company used to pay in advance the supervision charges towards the companyts of the staff deputed for the purpose of supervising the operation of manufacture, storage and issue of spirit.
The Inspector of prohibition and Excise by a letter dated 19th July, 1979 informed the companypany that the wages and dearness allowance of Government servants were increased retrospectively and on account of that the supervision charges payable by the Company companyes to Rs.
While so, the Company on 7th April, 1983 received a demand Notice dated 21st March, 1989 calling upon the Company to pay the differential amount of supervision charges amounting to Rs.
99,702.10 immediately within 15 days from the date of the receipt of the said Demand Notice, failing which legal action to recover the amount as arrears of land revenue would be taken.
The companypany is engaged in the manufacture of alcohol potable liquor, companyntry liquor and alcohol based chemicals.
A Division Bench of the Bombay High Court upheld the impugned demand of differential supervision charges retrospectively.
The Company, aggrieved by the judgment of the Bombay High Court dated 12.9.90, has preferred this appeal by special leave.
Aggrieved by the said demand of differential supervision charges retrospectively, the companypany moved the High Court by filing a writ Petition No.
However, pursuant to the said letter dated 19th July, 1979, numbersteps were taken by the respondents to companylect the differential amount from the Company.
The said Writ Petition was heard along with writ Petition No.
The facts leading to the filling of this appeal are as follows The first appellant is a companypany registered under the provision of the Companies Act, 1956.
1672/83 under Article 226 of the Constitution of India.
The second appellant is a share holder and director of the first appellant companypany.
The appellants, for the sake of companyvenience, will be referred to hereinafter as the Company.
940/82 and the main judgment was rendered in Writ Petition No.
1,54,379.79 for the period 1970 to 1979.
940/82.
