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2007 (3) TMI 269 - SUPREME COURTValuation (Central Excise) - Normal price - Molasses - Applicability of proviso (ii) of Section 4(1)(a) - Bihar Molasses (Control) Act, 1947 - Held that:- Sugar is an essential commodity under the Essential Commodities Act. The Bihar Molasses (Control) Act, 1947 is a regulatory measure enacted in order to regulate the supply, storage and pricing of molasses produced by factories is the State of Bihar. The relevant provision of the said Act which dealt with price of molasses has not fixed a particular price. It has merely fixed a range/ceiling within which the factory was entitled to charge the price of the molasses. We are informed that in the relevant year, on account of surplus, the price charged by the assessee was Re. 1/- per quintal - proviso (ii) is not applicable since under the Bihar Molasses (Control) Act, 1947, there is no fixed control price stipulated. As stated above, under the said Act, a price range is demarcated subject to the ceiling of Rs. 15/- per quintal. In the circumstances, proviso (ii) to Section 4(1)(a) of the Central Excise Act is not applicable to the present case - Decided in favour of assessee.
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