KHODAY INDIA LIMITED Vs. STATE OF ANDHRA PRADESH

JUDGEMENT

(1.) The petitioner seeks a writ of mandamus directing the respondents to levy only countervailing duty on the products of the petitioner in accordance with Entry 51 List II of VII Schedule to the Constitution of India and for a consequential direction to refund a sum of Rs. 38,54,415/- together with interest at 18% p.a.

(2.) The petitioner is a company registered under the Companies Act, 1956, with its Registered Office at Bangalore. The petitioner is the manufacturer of liquor. It supplies liquor, it exports liquor to other States, including the State of Andhra Pradesh. In respect of liquor exported by the petitioner to the State of Andhra Pradesh between 1 -4-90 and 31-3-91, as import a sum of Rs. 38,54,415/- was levied. The petitioner states that the State can levy only countervailing duty but not the Excise duty as the Excise Duty was paid by the petitioner in its Home State - Karnataka. It therefore approached this Court for the relief indicated above.

(3.) Mr. Venkata Reddy, learned counsel for the petitioner submits that under Entry 51 of List II of VII Schedule to the Constitution of India, the State of A.P. can levy only countervailing duty and not the Excise Duty; but the authorities have collected excise Duty; and therefore the petitioner is entitled to refund of the same.