Home Case Index All Cases Central Excise Central Excise + SC Central Excise - 1996 (7) TMI SC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
1996 (7) TMI 143 - SC - Central ExciseWhy ammonium nitrate should not be reclassified under Tariff Item No. 68/ Held that:- The reclassification of ammonium nitrate by the order of the Central Board dated November, (sic) 1980, casts upon the appellants the obligation to pay the excise duty that is leviable as a result. Such obligation does not arise merely by reason of an agreement between SAIL and the appellants but also by virtue of the provisions of Chapter X of the Central Excise Rules, 1944. The appellants suffer adverse civil consequences and have, therefore, the locus to challenge the reclassification. There is no forum other than the High Court under Article 226 where they can do so, and the High Court was in error in not entertaining the latter writ petition and referring the appellants to a civil suit. Insofar as the earlier writ petition is concerned, the High Court ought, for the same reason, to have dealt with the contention of the appellants that ammonium nitrate remained exempt from excise duty by reason of the Exemption Notification until 21st July, 1979, when ammonium nitrate was removed from the purview thereof. The judgments and orders of the High Court in appeal must be set aside. Appeal allowed.
|