ORDER

This appeal by special leave arises from the Judgment of the Division Bench of the Himachal Pradesh High Court, made on July 2, 1980 in Writ Petition No. 121/79. The question is : at what stage the beer is exigible to duty under the Punjab Excise Act, 1914 (1 of 1914) (for short, the Act ). The Division Bench upholding Rule 10(3.4) of the Rules made under Section 58 of the Act read with Section 59 of Punjab Breweries Rules, 1932 (for short, the Rules ), came to the conclusion that it is exigible to duty at the stage when it is in fermentation, i.e., wort in terms of Rule 10(3.4). Calling that decision in question, this appeal came to be filed.

2. With a view to appreciate correctness of the view taken and having heard the learned counsel for the parties, it is necessary to look into the relevant provisions of the Act and the Rules, Chapter I, Section 3 of the Act defines various words and phrases in the Act. Section 3(1) defines "Bear" to include ale, porter, stout, and all other fermented liquors made from malt. "Liquor" has been defined under Section 3(14) of the Act to mean "intoxicating liquor and includes all liquid consisting of or containing alcohol; also any substanc