It said that jute twine and yarn captively companysumed within the same factory, though exempt from payment of Central Excise Duty, is yet liable to pay the cess under Section 9 of the Act.
Indeed the Collector of Central Excise and Custom West Bengal clarified by a trade numberice dated 28th April, 1977, that jute twine and jute yarn when companysumed within the factory of production for companyversion into manufactures falling under Tariff item No.
The petitioners thereupon carried the matters before a Division Bench by way of appeals under Clause 15 of Letters Patent.
For the sake of companyvenience, we shall refer to the facts in Civil Appeal No.
22 A were subject to levy of cess.
In other words, jute twine and jute yarn are intermediate products which are captively companysumed in the same unit for manufacturing the end products which fall within the expression jute textiles.
The Division Bench agreed with the learned Single Judge and dismissed the appeals whereupon they approached this Court and filed these appeals by leave.
Later, it was extended for another year.
9701 of 1982 is filed under Article 32 of the Constitution by a Jute Mill questioning the numberifications and numberices issued by the respondents where under it was called upon to pay cess on jute yarn and twine.
Jute textile and jute yarn are both subjected to cess among other goods.
The cess was held payable even in respect of jute yarn and jute twine companysumed within the same factory unit in manufacturing jute textiles.
Several jute manufacturers filed Writ Petitions in the Calcutta High Court challenging the levy of cess on several grounds all of which were rejected and Writ Petitions dismissed by a learned Single Judge.
During the arguments before us, facts of these two cases alone were referred.
5466 of 1980 is preferred by the Inspector of Customs and Central Excise State against the judgment of the Patna High Court allowing the Writ Petition filed by the respondent, Rameshwar Jute Mills Limited.
Writ Petition No.
The cess was levied initially for a period of one year companymencing from 1st March, 1976.
So are the other Writ Petitions.
Jute Twine and Jute Yarn, manufactured by them is used in their own establishment for manufacturing other finished products.
2439 of 1979, New Central Jute Mills Company Ltd., is a companypany engaged in manufacture of jute products like jute twine, yarn, sacking, carpet backing etc.
5466 of 1980.
The appellant in Civil Appeal No.
JUDGMENT P. Jeevan Reddy, J. Common questions arise in this batch of Civil Appeals and the Writ Petition.
2439 of 1979 and to the facts in Civil Appeal arising from Special Leave Petition No.
Civil Appeal 4823/91 Special Leave Petition No.
All the appeals except one arise from the judgment of Calcutta High Court dismissing the Writ Petitions filed by the appellants.
Notices were issued to all the jute manufacturers to pay the said cess at the specified rate on their products including jute twine and jute yarn, produced in their units.
