TaxTMI 
TaxTMI 
2019 (5) TMI 363
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....or appellant - Larsen & Toubro Ltd., in Item VAT. APPEAL 17/2016, 18/2016 & 15/2017. Mr. Gautam Narayan, ASC for Govt. of NCT of Delhi of Delhi with Ms. Mahamaya Chatterjee, Advocates in VAT. APPEAL 16/2016 & 19/2016 Mr. A.K. Babbar, Mr. Surender Kumar, Advocate in VAT. APPEAL 16/2016 Counsel for the respondent: Mr. V. Lakshmi Kumaran, Mr. Yogendra Aldak, Mr. Karan Sachdev, Advocates in ST. APPL.1/2017. Mr. Satyakam, Advocate for the Revenue ST.APPL. 1/2017, C.M. Appl. No. 3884-3885/2017, ST.APPL. 5/2017, C.M. Appl. No. 36948/2017, 36950/2017, ST.APPL. 6/2017, VAT APPEAL 16/2016, C.M. Appl. No. 29580/2016, VAT APPEAL 17/2016, VAT APPEAL 18/2016, VAT APPEAL 19/2016, C.M. Appl. No. 31746/2016, VAT APPEAL 20/2016, C.M. Appl. No. 31751/2016, VAT APPEAL 21/2016, C.M. Appl. No. 32217/2016, VAT APPEAL 28/2016, C.M. Appl. No. 36478/2016, VAT APPEAL 15/2017, MR. S. RAVINDRA BHAT 1. The facts and the question of law are common in these appeals, the leading case is that of M/s Schneider India Electric Pvt. Ltd. (hereafter referred as the "assessee" or "Schneider"). The following question of law was framed for these appeals: "Did the VAT Tribunal fall into error i....
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.... or sanction granted or deemed license under the Indian Electricity Act, 1910 (hereafter "the 1910 Act"). 5. For 2003-2004, the assessing authority, without furnishing any reasons, denied the exemption in the assessment order- in respect of Schneider. By an order in the review application, the demand was reduced. The assessees (including Schneider) appealed to the Additional Commissioner where a direction to a pre-deposit was made; this condition was challenged before this court in W.P.(C) 14164/2006 which was dismissed. Schneider appealed to the Supreme Court by special leave; that Court directed the Additional Commissioner to decide the matter. The assessing authority denied exemption for the period 2003-04 and raised demand of Rs. 9,16,62,309/- (including interest) by Assessment Order dated 10.09.2009, which was further reduced to Rs. 8,26,75,711/- (tax of Rs. 4,19,67,366/- and interest of Rs. 4,07,08,345) by Rectification Order dated 12.01.2010. As in the case of Schneider, the other assessees too were denied exemptions. 6. Against the demands, the assessees filed appeals before the Special Commissioner. Schneider was directed to make a pre-deposit of Rs. 4,00,04,000/-, a....
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....) of the DST Rules up to the period 10.03.2004. The Tribunal partly allowed and partly dismissed the assessees' appeal. It held that they were entitled to benefit of Rule 11(XII) for the period upto 11.03.2004 upto which the DISCOMs enjoyed being licensees under Electricity Act 1910 but not thereafter when the Electricity Act, 2003 was brought into force. The tribunal further held that the assesses were not entitled to claim deduction for the periods period 11.03.2004 to 31.03.2004 and for 2004-05) from their turnover for sales made to DISCOMS under Section 4(2)(vi) of the DST Act read with Rule 11(XII) of the DST Rules, after 11.03.2004. This resulted in liabilities of various amounts. 9. The relevant discussion in the impugned order reads as follows: "100. II) view of the foregoing discussion we* are of the view that the Appellants are entitled for claiming deductions from their turnover in respect of sales made to DISCOMS namely Mis North Delhi Power Limited, BSES Rajdhani Power Limited, BSES Yamuna Power Limited under Section 4(2)(vi) of the Delhi Sales Tax ,1975 read with Rule11(xii) of the Delhi Sales Tax Rules 1975 upto 10.03.2004' and in respect of sales mad....
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....sion (CERC) and enabled State Governments to constitute State Electricity Regulatory Commissions (SERC). Such Commissions would look into the functioning of the Boards to ensure efficiency and professionalism. The Electricity Act, 2003 (hereinafter "the 2003 Act") was enacted with effect from 10th June 2003. This Act was comprehensive and it took care of all the three Acts, namely, 1910 Act, the Supply Act, 1948 and the 1998 Act. All these were repealed by virtue of the 2003 Act which consolidated the provisions. In the meantime, Delhi Electricity Reforms Act, 2000 (hereinafter referred to as "the DERC Act") was enacted with the objective of restructuring the electricity industry (rationalization of generation, transmission, distribution and supply of electricity), improve avenues for participation of private sector in electricity industry. 13. Provisions of the DERC Act (Section 14) enabled creation of companies for generation, transmission and distribution and transfer of existing generating stations, transmission and distribution systems; Section 15 provided for transfer of assets, liabilities, etc. of DVB to the newly formed companies; the transfer of rights was framed under....
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....as a party, subsisting or having effect on the date of the transfer, in the same manner as the Board was liable immediately before the date of the transfer, and the same shall be in force and effect against or in favour of the respective transferee had been a party thereto instead of the Board." 14. The assessees submit that they are eligible for exemption under Rule 11(XII) of the DST Rules for the period under consideration 11.03.2004 to 31.03.2005. In this regard, they argued that with effect from 02.06.2003, the 2003 Act came into force repealing Supply Act. Relying on Section 8 of the General Clauses Act, 1897 it was argued that wherever the Supply Act appeared in DST Rules, the reference is to be to the 2003 Act. Section 8 of the General Clauses Act reads as follows: "Construction of references to repealed enactments-(1) Where this Act, or any Central Act or Regulation made after the commencement of this Act, repeals or re-enacts, with or without modification, any provision of the former enactment, then references in any other enactment or in any instrument to the provision so repealed shall, unless a different intention appears, be construed as references to the ....
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....reafter the provisions of this Act shall apply to such business." 18. As the DISCOMs fall within the description of the above provisions, with effect from 10th June 2003, they are deemed licensees under the 2003 Act. Thus, having once read the 2003 Act in place of Supply Act post 10th June, 2003 in Rule 11(XII), its benefit cannot be denied. Thus, the assessees submitted that the DISCOMs to whom they supplied the goods for generation and supply of electricity are licensees under the 1910 Act or the 2003 act, therefore the Rule 11(xii) applies. As the language of that provision is clear, its benefit cannot be denied. The assessees relied on Hemraj Goverdhan Dass v. Govt. of India1978 (2) ELT J 350 (SC), where it was held that: "............We are unable to accept the contention put forward on behalf of the respondents as correct. On a true construction of the language of the notifications dated July 31, 1959 and April 30, 1960 it is clear that all that is required for claiming exemption is that the cotton fabrics must be produced on power-looms owned by the co-operative society. There is no further requirement under the two notifications that the cotton fabrics must be p....
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.... April 30, 1960 and from May I, 1960 to January 3, 1961. It follows therefore that the is entitled to the grant of a writ in the nature of certiorari to quash the order of the Assistant Collector of Central Excise of Baroda dated November 26, 1962 and the appellate order of the Collector of Central Excise dated November 12, 1963." 19. The assessees emphasized that once the prescribed certificates were issued by the buyers (electricity companies) to them certifying that the goods were purchased for use in Delhi directly in the generation/ distribution of electrical energy in Delhi under a license granted under 1910 Act, the benefit cannot be denied on the ground that the provider of the certificate is not eligible for the concession. Reliance was placed on the decisions of the Supreme Court in Chunni Lal Parshadi Lal v. Commissioner of Sales Tax, D.P. Lucknow, (1986) 62 STC 112; State of Madras v. Radio & Electricals Ltd, 1966 Supp SCR 198; ITC Ltd v. Collector Central Excise, (2004) 7 SCC 591. 20. Further, the assessees contended that the findings of the tribunal in the impugned order, that on a comparison of the objectives of the two legislation i.e. the 1910 Act and the 200....
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....s expressly provided that they are deemed licensee the benefit of rule 11 cannot be extended to their suppliers. 22. It is urged that DISCOMs are not licensees under the 1910 Act, and they cannot be treated as deemed licensee nor is a clear-cut deeming fiction created in law extending them to be deemed licensees under the law. 23. It is submitted that the provision on the lines of the Supply Act was not enacted subsequently or for that matter any other deeming fiction thereby the distribution companies were headed out to be deemed licensee has been enacted. The exemption/deduction was available to the sellers to any undertaking supplying electrical energy under a license or sanction granted or deemed to have been granted under the 1919 Act. NCT argues that the DISCOM whom the assessees had supplied to were never granted license under the provisions of 1910 Act. It is argued that neither the DERC Act nor the Electricity Act contained a deeming fiction thereby the licenses granted under the DERC or the Electricity Act are deemed licensees under the Indian 1910 Act. The licenses to the abovesaid distribution companies were granted under the DERC Act and Electricity Act and in th....
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....el contended that to understand its true nature it is necessary to understand the context and purpose of the exemption. He placed reliance on Section 8 of the General Clauses Act, 1897 and urged that references to repealed provisions must be construed to be references to the provision so re-enacted. He relied on the judgment of this court in Commissioner of Income Tax v KRBL Ltd. 2012 Online SCC Del 6054, where it was held that: "9. There is one more way of looking at the controversy. The SIL scheme was undisputedly notified under the Foreign Trade (Development and Regulation) Act 1992. Section 28(iiia) brings the profits of sale of license granted under the Imports (Control) Order, 1995, made under the Imports and Exports (Control) Act, 1947, to charge under the head "business". The Imports and Exports Control Act, 1947 stood repealed on the enactment of Foreign Trade (Development and Regulation) Act of 1992. Under Section 8 of the General Clauses Act, 1897 where any Central Act made after the commencement of the General Clauses Act, repeals and re-enacts, with or without modification, any provision of the former enactment, then references in any enactment or in any instr....
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....of s. 8 of the General Clauses Act X of 1897, it must be construed as a reference to the provisions of the Factories Act LXIII of 1948 which repealed the Factories Act of 1934 and re-enacted it. The contention raised by the State by special leave, that since the repeal of the Factories Act, 1934, in the definition of Commercial Establishment in s. 2 clause 3, are included all clerical and other establishments of a factory without any exemption has therefore no force. 5. The Factories Act, 1948 defines a worker by s. 2(1) as meaning, "a person employed, directly or through any agency, whether for wages or not, in any manufacturing process or in cleaning any part of the machinery or premises used for a manufacturing process, or in any other kind of work incidental to, or connected with, the manufacturing process, or the subject of the manufacturing process." And a factory is defined by s. 2(m) as meaning any premises including the precincts thereof wherein a specified number of workers on any day of the preceding twelve months is employed. By the combined operation of these definitions, persons employed in any manufacturing process or in cleaning any part o....
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....a railway; (b) all lines of rails, sidings or branches worked over for the purposes of, or in connection with, a railway; (c) all stations, offices, warehouses, wharves, workshops, manufactories, fixed plant and machinery and other works contracted for the purposes of, or in connection with, a railway; and (d) all ferries, ships, boats and rafts which are used on inland waters for the purposes of the traffic of a railway and belong to or are hired or worked by the authority administering the railway:" The 1989 Act defines the said expression in clause (31) of Section 2, which may also be set out: "(31) 'railway' means a railway, or any portion of a railway, for the public carriage of passengers or goods, and includes- (a) all lands within the fences or other boundary marks indicating the limits of the land appurtenant to a railway; (b) all lines of rails, sidings, or yards, or branches used for the purposes of, or in connection with, a railway; (c) all electric traction equipments, power supply and distribution installations used for the purposes of, or in connection with, a railway; (d) all rolling stock, stat....
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....in 1937 is to modify the relevant provisions in CrPC, 1973. Therefore, the notification of 1937 as well as the subsequent notification issued in 1970 are relevant to the instant case." XXXXXX XXXXXX XXXXXX 12. We approve the view taken by the High Courts of Gujarat, Delhi, Allahabad and Madras in Vinod Rao [Vinod Rao v. State of Gujarat, 1980 SCC OnLine Guj 86 : (1980) 1 Guj LR 926] , Sant Ram [Sant Ram v. Delhi State, 1980 SCC OnLine Del 72 : (1980) 17 DLT 490] , Mata Sewak Upadhyay [Mata Sewak Upadhyay v. State of U.P., 1995 JIC 1168 (All)] and P. Ramakrishnan [P. Ramakrishnan v. State, 2010 SCC OnLine Mad 3215 : (2010) 1 LW (Cri) 848] and disapprove the view taken by the High Court of Allahabad in Pankaj Shukla [Pankaj Shukla v. Anirudh Singh, 2011 SCC OnLine All 2442 : (2011) 2 ADJ 472]." 32. The other decisions relied on were State v. Ratan Lal Arora, (2004) 4 SCC 590 and State v. A. Parthiban, (2006) 11 SCC 473. Ratan Lal Arora (supra) ruled that: "The argument overlooks the principles underlying Section 8 of the General Clauses Act. When an Act is repealed and re-enacted, unless a different intention is expressed by the legislature, ....
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....el relied on JK Synthetics Ltd. v. CTO [1994] 94 STC 422 (SC) and Maruti Wire Industries (P) Ltd. v. STO (2001) 122 STC 410 (SC) to submit that interest under Section 27 of DST Act can be levied only for failure to pay tax as shown in the returns filed by the assessee. It is admitted position that the tax due in the returns was fully paid by the Appellants. Therefore, there was no occasion to impose interest under Section 27 of the DST Act and the same is liable to be accordingly set aside. Arguments on behalf of NCT 35. Counsel for NCT, Mr. Satyakam submitted that for the year 20032004, the assessees claimed to have sold electrical equipment to various undertakings such as the DISCOMs and they are companies engaged in generations/distribution of electricity in Delhi and that they filed return for the assessment year 2003 - 04 claiming deduction from his turnover sales made to above - said companies by relying upon Rule 11 (XII). He submitted that the NCT's position is that such sales were not to any undertaking which has a license or sanction granted or deemed to have been granted under the 1910 Act. The NCT submitted that the assessees' plea that DISCOMS were successors of ....
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....ic symbols having any precise or definite meaning and the language may be an imperfect medium to convey one's thought or that the assembly of legislatures consisting of persons of various shades of opinion purport to convey a meaning which may be obscure. It is impossible even for the most imaginative legislature to forestall exhaustively situations and circumstances that may emerge after enacting a statute where its application may be called for. Nonetheless, the function of the courts is only to expound and not to legislate. Legislation in a modern State is actuated with some policy to curb some public evil or to effectuate some public benefit. The legislation is primarily directed to the problems before the legislature based on information derived from past and present experience. It may also be designed by use of general words to cover similar problems arising in future. But, from the very nature of things, it is impossible to anticipate fully the varied situations arising in future in which the application of the legislation in hand may be called for, and, words chosen to communicate such indefinite referents are bound to be in many cases lacking in clarity and precision a....
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....- XXXXXX XXXXXX XXXXXX (c) the period of turnover, the manner in which the turnover in relation to sale of any goods under this Act shall be determined and the sales turnover which may be deducted under sub clause (vi) of clause (a) of sub-section (2) of section 4" Section 66 of the DST Act provides as under; - Exemptions "(1) If the Administrator is of opinion that it is necessary or expedient in the public interest so to do, he may, with the previous approval of the Central Government, exempt, by notification in the official Gazette, and subject to such conditions, if any, as he may impose any specified class of sales by any specified class of dealers from payment of the whole or any part of the tax payable under this Act. (2) If in respect of any sales which are exempt from payment of tax under sub-section (1), a breach of any of the conditions subject to which such exemption was granted is committed, the dealer responsible for such breach shall be liable to pay tax in respect of all such sales as if no such exemption had been granted." 39. Rule 11(XII) of the DST Ru....
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....ch right, privilege, obligation, liability, penalty, forfeiture or punishment as aforesaid;' and any such investigation, legal proceeding or remedy may be instituted, continued or enforced, and any such penalty, forfeiture or punishment may be imposed as if the repealing Act or Regulation had not been passed." Analysis and conclusions 40. The question that needs to be decided is whether the authorities have been justified in holding that the DISCOMs., viz BSES, BSES (Y), NDPL and Transco to whom the assessees had made sales were not "undertakings" supplying electricity. Halsbury's Laws of England, 3rd Edition, Volume VI (1954), defines 'undertaking' as: ".. though various ingredients make up an undertaking, the term describes not just the ingredients but the completed work from which earnings arise." The Law Lexicon Dictionary (Page 1932) defines' undertaking as: "as any business or any work or project which one engages in or attempts as an enterprise analogous to business or trade." 41. In P. Alikunju, M. A. Nazeer Cashew Industries v Commissioner of Income Tax (1987) 166 ITR 80, it was held that "undertaking means an enterprise, v....
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....s explained the literal rule of interpretation of statutes. Governing the interpretation of statutes, the literal rule is the often invoked rule pressed into action to ascertain the legislative intention behind the framing of the enactment. The rule governs and regulates the meaning of the law in as much as the rule provides that the meaning has to be ascertained from the text of the law itself. 43. In Mis Hiralal Ratanlal vs. STO, AIR 1973 SC 1034, the Apex Court observed: "In construing a statutory provision the first and foremost rule of construction is the literal construction. All that the Court has to see at the very outset is what does the provision say. If the provision is unambiguous and if from the provision the legislative intent is clear, the Court need not call into aid the other rules of construction of statutes. The other rules of construction are called into aid only when the legislative intent is not clear." We have noticed that the Words "Any Undertaking" in respect of sales made to Electricity Undertakings has been used for the First time in the Bengal Finance (Sales Tax) Act of 1941. At that point of time the Electricity Act of 1948 wa....
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....competition therein, protecting interest of consumers. and supply of electricity to all areas, rationalization of electricity tariff, ensuring transparent policies regarding subsidies, promotion of efficient environmentally benign policies, constitution of Central Electricity Authority, Regulatory Commissions and establishment of Appellate Tribunal and matters connected therewith or incidental thereto." 46. The 1910 Act was the first Act in India which codified and created rights and obligations in regard to generation and distribution of electricity; thereafter, the Supply Act, was enacted. The objective of the Supply Act was to create Electricity Boards throughout India. This is evident from the statement of objects and reasons to the Supply Act, reproduced below: "The coordinated development of electricity in India on a regional basis is a matter of increasingly urgent importance for post-war re-construction and development. The absence of coordinated system, in which generation is concentrated in the most efficient units and bulk supply of energy centralized under the direction and control of one authority is one of the factors that impedes the healthy and economica....
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....nature of trading corporation within the meaning of entry 33 of the Federal Legislative List." 47. The Electricity Act 2003 was enacted with effect from 10th June 2003. This Act was comprehensive and it consolidated the provisions of all the three Acts, i.e. the 1910 Act, the Supply Act, and the Electricity Regulatory Commission Act, 1998.All the said three Acts were repealed, and consolidated in one enactment, namely the Electricity Act 2003. The Preamble to the 2003 Act states as follows: "An Act to consolidate the laws relating to generation, transmission, distribution, trading and use of electricity and generally for taking measures conducive to development of electricity industry, promoting competition therein, protecting interest of consumers and supply of electricity to all areas, rationalization of electricity tariff, ensuring transparent policies regarding subsidies, promotion of efficient and environmentally benign policies, constitution of Central Electricity Authority, Regulatory Commissions and establishment of Appellate Tribunal and for matters connected therewith or incidental thereto." 48. From the relevant provisions, it is clear that the Delhi Vidyu....
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....ricity in Delhi, in the same manner as the Board was entitled to exercise prior to the effective date of the transfer. (2) Within sixty days of the effective date of transfer, the DISCOMS, shall apply to the Commission for the grant of licence under the Act to undertake the business of distribution and retail supply of electricity in the respective areas of supply as specified in Schedule H: Provided, however, that on and from the effective date of the transfer and till the grant of licence by the Commission, the DISCOMS shall be entitled to exercise the rights and powers exercisable by the board under the Electricity (Supply) Act, 1948 (54 of 1948), and undertake the business of distribution and retail supply of electricity in the respective areas of supply as specified in Schedule H , in the same manner as the Board was entitled to, prior to the effective date of the transfer." 50. In the DERC Rules, "Board" was defined to mean DVB constituted under Section 5 of the Supply Act; Rule 2(f) defined DISCOMs to mean as companies with the principal object of engaging in the business of distribution and supply of electricity in the area as specified in Part II of Sc....
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....rs in their respective areas. Delhi Vidyut Board was the licensee under 'the Indian Electricity Act, 1910 and the Electricity (Supply) Act, 1948. From the date of transfer, the distribution companies were empowered to exercise all rights and powers of Delhi Vidyut Board. Within 60 days of the date of transfer, the distribution companies had to apply to DERC for a formal license but till such time the license was granted, the distribution companies were empowered to act in terms of the powers of the Delhi Vidyut Board as a licensee. 55. Therefore, w.e.f. 1.7.2002, the respondent took over the rights and obligations of Delhi Vidyut Board as a licensee in respect of supply/distribution of electricity to the consumers in the area of its jurisdiction. The deemed license of the Delhi Vidyut Board as a licensee as per Section 26 of the Electricity (Supply) Act, 1948 became the license of the respondent: Needless to state, the licensed area was the area assigned to the respondent. In terms of Section 26 of the Electricity (Supply) Act, 1948 read with Rule 10(2) of the Delhi Electricity Reforms (Transfer Scheme) Rules, 2001, powers and obligations of the licensee (OVB) under th....
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....dian Electricity Act, 1910, Electricity (Supply) Act, 1948 and the rules framed thereunder. 93. Needless to state, the Delhi Electricity Reforms Act,2000 continues to apply in the National Capital Territory of Delhi, save and except its provisions are not inconsistent with the Electricity Act, 2003. 94. The legal position, therefore, would be that by virtue of the Delhi Electricity Reforms Act, 2000 and the rules framed there under, powers of the licensee under the Indian Electricity Act, 1910 and the Electricity (Supply) Act, 1948 continue to ensure to the licensees in Delhi, save and except where the same are inconsistent with the provisions of Electricity Act, 2003. In the context of meters, the changed legal position would be the one contemplated by Section 55 of the Electricity Act, 2003. Meaning thereby that henceforth, powers to determine specifications of a correct meter stand vested in the Authority constituted under Section 70 of the Electricity Act, 2003. Power to be exercised by way of regulations framed. The language of Section 55 itself shows that till the regulations are framed the old regime continues." 53. This judgment was affirmed by Supreme ....
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....cerned, the argument of the Appellant loses sight of the fact that in the first proviso the period for which any person can be a deemed licensee is not only such period which is stipulated in the licence, clearance or approval granted to him under the repealed laws or such Act specified in the Schedule. It also provides that the provisions of repealed laws or such Act specified in the Schedule in respect of such a licence shall apply for a period of one year from the date of commencement of Act 2003 or such earlier period as may be specified at the request of the licensee by the Regulatory Commission. In the present case, the Regulatory Commission formulated MERC (Specific Conditions of License Applicable to TPCL) Regulation 2008 i.e. Specific Licence Conditions. These were formulated Under Section 16 of the Act 2003 and it is in these conditions there is a specific stipulation regarding term of TPC licence up to 15.8.2014. We, therefore, are unable to accept the submissions of the Appellant that the licence was valid for a period of one year only. It would be useful to refer to Section 16 of the Act under which aforesaid Specific Licence Conditions of TPC are formulated. ....
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.... come to the conclusion that TPC can be treated as deemed distribution licensee under the first proviso to Section 14 of the Act 2003 and the area of the licence is the same which overlaps with the area covered by BEST, argument predicated on sixth proviso to Section 14 would not be available to the BEST." 56. Section 172 of the 2003, which is the transitional provision, reads as follows: "Section 172. (Transitional provisions): Notwithstanding anything to the contrary contained in this Act,- (a) a State Electricity Board constituted under the repealed laws shall be deemed to be the State Transmission Utility and a licensee under the provisions of this Act for a period of one year from the appointed date or such earlier date as the State Government may notify, and shall perform the duties and functions of the State Transmission Utility and a licensee in accordance with the provisions of this Act and rules and regulations made thereunder: Provided that the State Government may, by notification, authorise the State Electricity Board to continue to function as the State Transmission Utility or a licensee for such further period beyond the said period of o....
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....e rules under section 67 to 69 of this Act are made;. (c) the Indian Electricity Rules, 1956 made under section 37 of the Indian Electricity Act, 1910 as it stood before such repeal shall continue to be in force till the regulations under section 53 of this Act are made. (d) all rules made under sub-section (1) of section 69 of the Electricity (Supply) Act, 1948 shall continue to have effect until such rules are rescinded or modified, as the case may be; (e) all directives issued, before the commencement of this Act, by a State Government under the enactments specified in the Schedule shall continue to apply for the period for which such directions were issued by the State Government. (3) The provisions of the enactments specified in the Schedule, not inconsistent with the provisions of this Act, shall apply to the States in which such enactments are applicable. (4) The Central Government may, as and when considered necessary, by notification, amend the Schedule. (5) Save as otherwise provided in sub-section (2), the mention of particular matters in that section, shall not be held to prejudice or affect the general application o....
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.... a provision of another statute. In the former case, the provision of the second statute, along with all its amendments and variations from time to time, should be read into the first statute. In the latter case, the position will be as outlined in Narasimhan 1976 1 S.C.R. 61 where, after-referring to Secretary of State v. Hindustan Cooperative Insurance Society Ltd. 1931 58 I.A. 259, this Court summed up the position thus: On a consideration of these authorities, therefore, it seems that the following proposition emerges: Where a subsequent Act incorporates provisions of a previous Act then the borrowed provisions become an integral and independent part of the subsequent Act and are totally unaffected by any repeal or amendment in the previous Act. This principle, however, will not apply in the following cases: (a) where the subsequent Act and the previous Act are supplemental to each other; (b) where the two Acts are in part materia; (c) where the amendment in the previous Act, if not imported into the subsequent Act also, would render the subsequent Act wholly unworkable and ineffectual; and (d) where the amendment of the pre....