TMI Blog1987 (8) TMI 88X X X X Extracts X X X X X X X X Extracts X X X X ..... ved. In the price so shown the cost of wooden cases, in which the appellant's glass bottles were packed, were not shown because the wooden cases were stated to be durable and returnable. In checking the invoices, however, the Excise authorities rioted that the 1st appellant was recovering from the purchasers of its bottles amounts as packing charges which were equal to 1/3rd the total cost of the wooden cases because the wooden cases were used for the purposes of packing glass bottles twice or thrice. 3. On 10th September, 1976 the 1st appellant was issued with a show cause notice for the period October 1975 to March 1977. It asked that cause should be shown why excise duty, as therein stated, should not be recovered from the 1st appellan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... In this context, the revisional authority noted the 1st appellant's letter dated 31st October, 1979 which it read as an admission by the 1st appellant to the effect that there was no contractual obligation on the part of its customers to return the wooden cases. (3) No speciality attached to an ordinary wooden case and it was conceivable that the 1st appellant's customers could send any wooden cases to the 1st appellant for lifting their goods and the 1st appellant "in turn may be given them the benefit of reduced charge for the containers, particularly by way of an incentive for attracting business". 6. The appellants preferred the writ petition to impugn the orders of the various authorities. The learned Single Judge relied upon the ju ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the learned judge that the only ground taken in the show cause notices was in terms rejected by the revisional authority. The revisional authority proceeded upon a basis which had not found place in the show cause notice. No opportunity was, therefore, given to the appellants to produce before the authorities material to show that the wooden cases were durable and that there was an implied contract or arrangement between the 1st appellant and its customers which required the return of the wooden cases. To hold in this situation that the appellants had failed to satisfy the authorities that the packing was not durable or returnable does not seem to be justified. 8. Our attention was drawn by Mr. Taraporwalla, learned Counsel for th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t aside. 10. The appeal is allowed. The petition is made absolute in terms of prayers (a) and (b). The Excise authorities shall forthwith issue to the appellants a fresh show cause notice for the period October 1975 to September 1976 and shall set out therein the grounds for the demand raised thereby, which shall not exceed the aggregate of the demands in the show cause notices aforementioned. The order thereon shall be passed by the appropriate authority within 12 weeks from today. The appropriate authority shall pass the order after giving to the appellants an opportunity to meet the allegations in the show cause notice, inter alia, by production of evidence. The order shall be passed after considering the evidence, if any, and th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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