INDIAN ORGANIC CHEMICALS LIMITED Vs. UNION OF INDIA

JUDGEMENT

(1.) THE petitioner is a limited company registered under the Indian Companies Act. It is engaged in the business among others of manufacturing fibres/tops. THE item falls under sub-item I of Item 18 of the First Schedule to the Central Excises and Salt Act, 1944

(2.) WHILE so on 12th August, 1977 the Government of India issued two Notifications Nos. 278 of 1977 and 279 of 1977. The said notifications made it clear that man-made fibres and tops falling under sub-item I of Item No. 18 of the First Schedule to the Central Excises and Salt Act, 1944

(3.) THE writ petition was filed on 7-1-1980, on 10th January, after hearing the petitioners and the respondents Mohan, J, passed an order staying the operation of all the impugned letters on the terms mentioned in the order. At this stage, it may also be mentioned that on 24-4-1980 the respondents issued Notification No. 44/80-C.E. to the effect that fibre/tops manufactured out of waste will enjoy exemption provided the manufacturer employs processes like garnetting, combing, carding and grilling which do not involve recycling of any such wastes.