WELCOME MATCH WORKS Vs. UNION OF INDIA

JUDGEMENT

(1.) IN these batch of Writ Petitions, the validity of Notification No. 140 of 1981 dated 2-7-1981 issued under Rule-8 sub-rule (1) of Central Excise Rules, 1944 is in question.

(2.) BY the said notification, the petitioners who are manufacturers of matches without aid of power have been denied the concessional rates of excise duty which they were entitled to in terms of an earlier Notification No. 42 of 1981.The petitioners in these Writ Petitions have therefore questioned the amendment issued under the impugned notification.

(3.) THE units producing matches are now classified broadly in two categories, viz., the power-operated or mechanised units and the non-power-operated ones. THE non-power operated sector can be divided further into two categories viz., 'cottage' and other than cottage depending on their output. Those producing not more than 75 million matches per year and recommended by KVIC for a Cooperative Society are categorised as 'cottege'/'tiny'. It may be noted that, broadly speaking, manufacture of matches involves the following processes :