TaxTMI 
TaxTMI 
2009 (1) TMI 521
X X X X Extracts X X X X
X X X X Extracts X X X X
....ards of Weights and Measures (Packaged Commodities), Rules, 1977 (for short 'PC Rules'). The inspection, it is said, disclosed that the package in which the shoe was packed, did not contain the Maximum Retail Price (M.R.P.) inclusive of all taxes, in violation of Section 2(r) and Section 39 and 63 of the Act and PC Rules. The 4th respondent issued the notice dated 8-4-2006 and 26-5-2006 Annexure-"C", in each of the writ petitions, pointing out to the contravention of law and informing the petitioner that the violations were compoundable under Section 73 of the Act and directed its appearance before the Compounding Authority, failing which a complaint would be lodged before the Jurisdictional Magistrate. Hence, these writ petitions for the following rebels : (a) A writ of mandamus to declare Rules 6 and 33 of the Packaged Commodities Rules as illegal and ultra vires the powers under the Act. (b) Mandamus declaring that the petitioner's products are not regulated or covered by the Act or Rules; (c) A writ of prohibition restraining the respondents or any of their subordinates from prosecuting/continuing ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....dise the rates, the petitioner's shoes sold in packaged form when taken out for testing or examination, does not change its character as a packaged commodity. 4. Sri S.K. Sahiji Pal, Learned counsel for the petitioner advances the following contentions : (i) the notification dated 26-9-1977 of the Central Government bringing into force Sections 1, 2, 3, 39 and 83 of the Act w.e.f. 26-9-1977, it is contended, does not specify the classes of goods and therefore, is not a notification in the eye of law as mandated by the Parliament covering the petitioner's products. It is further contended that though Section 83(2)(zd) empowers the Central Government to make rules in respect of any other matter which is required to or may be prescribed, and in the absence of a notification covering the products of the petitioner, the PC Rules have no application. Learned counsel contends that the rule of ejusdem generis applies and in the absence of a notification specifying the classes of goods, neither the Act nor Rules covers the products manufactured and distributed by the petitioner. The PC Rules it is contended cannot control the Act since the definition of the term....
X X X X Extracts X X X X
X X X X Extracts X X X X
....separate notification for different class of goods under Clause (d) of sub-section (3) of Section 1. In the present day scenario of market trends and technological advancements, it is well nigh impossible for the Central Government to issue notifications to bring into fold new classes of goods manufactured by hour and the day. If the contention of the learned counsel for the petitioner is accepted, it would lead to a narrow interpretation and cause hardship rendering the application of the act impracticable. The Courts must give a purposive interpretation of Section 1(3) of the Act, in view of the laudable object in framing the Act which is in the larger interest of the consumer at also to standardise the rates applicable to the product when put up for retail sale throughout the country. This, I am afraid, cannot be achieved by applying the rule of ejusdem generis, to interpret Section 1(3)(d) as requiring issue of a notification every time a new product belonging to a class of goods is manufactured and put for retail sale. 7. In Kavalappara Kottarathil Kochuni v. State of Kerala, reported in AIR 1960 SC 1080, at Page 1103, their lordships of the Supreme Court, interpreting....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... commodity;" "Explanation I : Where any such weight or measure is, or other goods are, delivered to a carrier or other bailee for transmission, the movement of such weight, measure or other goods shall, for the purposes of sub-clause (ii), be deemed to commence at the time of such delivery and terminate at the time when delivery is taken from such carrier or bailee. Explanation II : Where the movement of any such weight, measure or other goods commences and terminates in the same State, it shall not be deemed to be a movement of such weight, measure or other goods from one State to another merely by reason of the fact that in the course of such movement it passes through the territory of any other State;" 10. Indisputably, 'in packaged form' commodities excluding statutory exceptions, are governed by Sections 1, 2, 3, 39 and 83 of the Act brought into force w.e.f. 26-9-1977, while Rule 2A, makes Chapter-II of the 'PC Rules' applicable to all pre-packed commodities except in respect of grains and pulses of quantity more than 15 kgs. Rule 3 states that the provisions of the Chapter shall apply to the packages intended for retail sale and the expression "package", wherev....