APHALI PHARMACEUTICALS LIMITED Vs. STATE OF MAHARASHTRA

JUDGEMENT

(1.) THIS plaintiffs appeal by special leave is from the Appellate Judgment and Decree of the High Court of Judicature at Bombay reversing those of the trial court and dismissing plaintiffs special suit.

(2.) THE appellant is a Limited Company registered under the Companies Act having its registered office situate at Ahmednagar within the State of Maharashtra. THE appellant carries on business, inter alia, as manufacturers of Ayurvedic preparations including "Asavas", "Aristhas". At all times material to this appeal, the appellant was manufacturing and selling an Ayurvedic product called "Ashvagandhaarist" which is a medicinal preparation containing selfgenerated alcohol but not capable of being consumed as ordinary alcoholic beverage.

(3.) BY Section 18 of the Finance Act, 1962, the Act was further amended by substitution of an Explanation No. 1 to the Schedule of the Act. BY virtue of and under the said Explanation a patent and proprietary medicine was defined as a medicinal preparation of the description and the type specified in the Explanation. The Explanation which was brought in by the Finance Act was given retrospective effect from 23/04/1962.