TMI Blog1994 (12) TMI 144X X X X Extracts X X X X X X X X Extracts X X X X ..... submitted that the proceedings were instituted against the appellants on the ground that the appellants had not filed the necessary declaration nor the company was registered with the Director of Industries in terms of Notification No. 175/86 in respect of the goods in question and the proceedings ultimately culminated in the impugned order. 2. The Ld. Consultant for the appellants submitted that the appellants for the period in question, for the previous year had not exceeded a total clearance of Rs. 15,000 and for the current year in question the clearances were only for Rs. 1.74 lakhs and, therefore, the total clearances for the preceding year and for the current year put together would be far below Rs. 7.50 lakhs and, therefore, the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... seven and a half lakhs; or (b) in a case where a manufacturer has been availing of the exemption under this notification or any of the notifications specified below, during the preceding financial year : (i)166/72-Central Excises, dtd. the 13th July, 1972. (ii)39/73-Central Excises, dated the 1st March, 1973. (iii)158/77-Central Excises, dated the 18th June, 1977. (iv)74/78-Central Excises, dated the 1st March, 1978. (v)70/81-Central Excises, dated the 25th March, 1981. (vi)43/82-Central Excises, dated the 28th Februry, 1982. (vii)44/82-Central Excises, dated the 28th February, 1982 (viii)148/82-Central Excises, dated the 22nd April, 1982. (ix)77/83-Central Excises, dated the 1st March, 1983. (x)83/83-Central Excises, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s reason is also based on erroneous understanding of law by the adjudicating authority. Exemption from licensing control is different from exemption from payment of duty. In the case of M/s. Healthways Dairy Products Co. v. UOI [1978 (2) E.L.T. (J 457) a question was raised before the Supreme Court that since the Healthways Dairy Products had obtained a licence for manufacture of condensed milk only and it did not obtain a licence for manufacture of condensed skimmed milk, therefore, for the purposes of the levy of the excise duty, both condensed milk and condensed skimmed milk should be placed on the same footing. Healthways Dairy Products Co. submitted that if excise duty was not leviable on condensed milk then no licence was required for ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e facts and circumstances of the case, the notification and the precedents relied on by the parties, the Bench is of the view that it would not be proper to deny the appellants the benefit of Notification No. 89/79-C.E.., dated 1-3-1979 on the ground that the appellants had not taken out a licence. The Bench finds accordingly. Accordingly, we are of the view that even if the appellant was required to take out a Central Excise licence for not filing a declaration as enjoined under Notification No. 11/88-C.E. (N.T.), dated 15-4-1988, the benefit of Notification 175/86, dated 1-3-1986 cannot be denied. Therefore, the demand of duty made in the impugned order is not called for and is set aside. Since the seized goods namely 45 electric fans ..... X X X X Extracts X X X X X X X X Extracts X X X X
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