Judgment

S. RANGANATHAN, J.:- These two appeals under the Central Excises & Salt Act, 1944 (hereinafter referred to as the Act’) raise an interesting question as to the vires and interpretation of S. 3(2) of the Act. Under that provision, the Central Government issued notifications dated 28-11-1970 and 26-7-1971 fixed the tariff value on the basis of which excise duty was to be levied on sulphuric acid and liquid chlorine respectively. In respect of the former, the tariff value fixed was Rs. 260 per metric tonne where the strength of the acid was 93 to 99 and a proportionately lower figure where the strength of the acid was less. The tariff value for chlorine was fixed at Rs. 500 per metric tonne.

2. It is necessary to set out the provisions of Ss. 3 and 4 of the Act, as they stood at the relevant time, to enable a proper understanding of the issue raised. They read thus:

3. Duties specified in the First Schedule to be levied.

(i) There shall be levied and collected in such manner as may be prescribed duties of excise on all excisable goods other than salt which are produced or manufactured in India and. a duty on salt manufacturer , or imported by land into, any part of in(iia as, a