UNION OF INDIA Vs. GANESH METAL PROCESSORS INDS

JUDGEMENT

(1.) These appeals are against the order dated 8.9.1994 passed by the High Court of Andhra Pradesh at Hyderabad. The question involved in these appeals is whether the respondents were entitled to the benefit of notification no. 1 of 1993 dated 28th February, 1993. By the said notification, exemption is granted to first clearance of specified goods upto a particular value, provided in the previous year, there has been no clearance of goods beyond the aggregate value of Rs. 200 lacs. Further qualification which is relevant for our purpose, reads as follows :-

(2.) Thus, for the purposes of computing the aggregate value of clearances, the only goods which are not to be taken into account are those (a) which are chargeable to nil rate of duty and (b) which are exempted from whole of the duty of excise leviable under any other notification. Admittedly the goods are not those which were chargeable to nil rate of duty. The question before this Court is whether the goods of the respondents are exempted from whole of the excise duty by virtue of notification no. 202 of 1988.

(3.) The relevant portion of notification no. 202 of 1988 reads as follows:-