1981 (9) TMI 285

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....e facts of the case are that the Petitioners manufacture, inter alia, Aniline, Para Nitro Chlaro Ben-zene (PNCB) & Acetanilide, which are excisable under Tariff Item 68 of the Central Excise Tariff. From 1-3-1978 "all drugs, medicines, pharmaceuticals and drug-intermediates elsewhere specified" were exempted by Notification No. 62/78, dated 1-3-1978. The basic issue to be decided is whether the th....

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....ictionary (8th Edition) which cited various uses of Acetanilide and held that Acetanilide like Aniline could not be considered as a drug-intermediate, because of the prepondence of its use as other than drug-intermediate. 2. The Petitioners were heard by the Government when S/Shri M. T. Talathi, N.S. Gambhir, Dr. P. V. Arur, V. Kumar, R.M. Shende, appeared for the personal hearing. In thei....

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....drugs (2) it should be the penultimate intermediate before the drug comes into existence. They have contended that the criteria of predominant use is neither correct nor warranted in determining whether an item is a drug-intermediate or not. It is their contention that an item should be declared as a drug intermediate to the extent that it was used in the manufacture of drugs. In other words, the ....

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....ment have considered all the written and oral submissions. Government find considerable force in the contention that the view taken by the lower authorities tends to defeat the object of the exemption notification.The interpretation on the scope of the term 'drug intermediate' put by the lower authorities is not warranted on a plain reading of the notification. Government observe that the notifica....