EXCELL CHEMICALS PRIVATE LIMITED Vs. UNION OF INDIA

JUDGEMENT

(1.) THE 1st petitioner is a Company manufacturing products known as "indostat SF52" and "indostat SF" which, the petitioners claim, are classifiable under Tariff Item 3402. 90 and eligible for exemption from excise duty under Notification No. 101 of 1966 dated 17th June, 1966 as amended from time to time, inclusive of the amendment by Notification No. 4 of 1968 dated January 20, 1968 which is at Exhibit E.

(2.) THE petitioners product is an organic surface active agent sold under the said brand names of "indostat SF52" and "indostat SF". The said products were covered under old Tariff Item 15aa of the First Schedule to the Central Excises and Salt Act, 1944 (hereinafter referred to as "the Act" ). However, by exemption Notification No. 101 of 1966 dated 17th June, 1966, the Central Government, inter alia, exempted "emulsifiers, wetting out agents, softeners and other like preparations intended for use in any industrial process" subject to the conditions mentioned in the said Notification. The petitioners contend that the products mentioned above, namely, "indostat SF52" and "indostat SF", are emulsifiers and as such eligible for exemption under the said Notification No. 101 of 1966 as amended by Notification No. 4/68-CE dated January 20, 1968.

(3.) IT appears that the petitioners had earlier filed classification lists in respect of the said products and by letter dated 26th March, 1981 (at Exhibit B) the petitioners were informed by the 2nd respondent that their products were falling under Tariff Item 15-AA and were, therefore, exempted by the relevant Notification mentioned against each product, namely, Notification No. 101 of 1966 dated 17th June, 1966. Similar classification list was filed in 1986, being classification list No. 1 of 1986, which was approved by letter dated 25th June, 1986 (at Exhibit C ).