SARVOTHAM CARE LIMITED Vs. UNION OF INDIA

JUDGEMENT

(1.) THIS writ petition is filed assailing the order, dated 28.12.2001 passed by the Deputy Commissioner of Customs and Central Excise, Hyderabad, 2nd respondent herein.

(2.) THE petitioner is the manufacturer of a product by name Nizral Shampoo. It is stated that necessary licence under the Drugs and Cosmetics Act, 1940 (for short the Act) and the Rules made thereunder has been obtained for that purpose. The product is subjected to levy of excise duty. According to the petitioner, the product is Medicaments that falls under the sub -heading No.3303.10 of the Central Excise Tariff Act, 1985 (for short the Tariff Act). The duty was paid on that basis. However, the 2nd respondent intended to treat it as the preparation for use on hair occurring in sub -heading No.3305.00 of the Tariff Act. A show cause notice was issued in this behalf, in respect of the product cleared between May 1999 and December 2000.

(3.) THE petitioner submitted its explanation. Personal hearing was also given. Thereafter, the 2nd respondent passed a detailed order in original dated 28.12.2001 holding that the petitioner is liable to pay differential duty of Rs.78,51,483/ -. The said order is challenged in this writ petition.