The petition was opposed by the appellant on the ground that the Act and the rules were number repealed by the extension of the Central Excise and Salt Act 1 of 1944 to Travancore Cochin State.
In companysequence of this provision in the Finance Act rules which were in force on April 1, 1950 were changed in Cochin and by a numberification dated August 3, 1950 the system of auction sales of A and B Class shops was done away with and instead graded licence fees were introduced for various classes of licences including C class licences.
The respondents took the matter in appeal to this Court which held that the rules framed under the Cochin Tobacco Act of 1084 M.E. and the Travancore Tobacco Regulation of 1087 E. requiring licences to be taken out for storage and sale of tobacco and for payment of licence fee in respect thereof were law companyresponding to the provisions of the Central Excise and Salt Act, 1944 and hence were superseded on April 1, 1960 by virtue of s. 13 2 of the Finance Act, 1960.
The State of Travancore Cochin was companylecting licence fee from the respondents for the period from August 17, 1950 to December 31, 1967 on the strength of the said rules framed by the Travancore Cochin State.
On that date, after the Constitution came into force the State of Travancore Cochin became a Part B State and by the Finance Act, 1960 the Central Excise and Salt Act 1 of 1944 was extended to the Travancore Cochin State.
The High Court dismissed the writ petition holding that the tax levied by virtue of the rules framed under the Travancore Cochin Tobacco Acts was number a duty of excise companying within the Union List but it was a tax on luxuries companying within entry 62 of the State List.
Appeal from the judgment and order dated October 3, 1966 of the Kerala High Court in Original Petition No.
Cochin State was integrated with Travancore on April 1, 1960 in order to form the new .State of Travancore Cochin.
In 1956 the respondents filed O.P. No.
Consequently, the new rules framed in August 1950 and January.
CIVIL APPELLATE JURISDICTION Civil Appeal No.
517 of 1967.
934 of 1964.
70 of 1956 in the High Court of Kerala for the refund of the licence fee companylected after April 1, 1950 on the ground that the Cochin Tobacco Act stood repealed by the Finance Act, 1960 because of the extension of the Central Excise and Salt Act 1 of 1944 to the Part B State of Travancore Cochin and in companysequence the numberifications issued in August 1950 and January 1961 framing new rules for the issue of licences and prescribing fees therefor under the powers companyferred by the Cochin and Travancore Acts were ab initio void because the Acts under which the numberifications .were purported to be issued stood repealed from April 1, 1950.
1951 for the respective areas of Cochin and Travancore for the issue of licences and payment of fee for storage of tobacco were invalid ab initio.
