( 1 ). The appellants manufacture highly specialised "cardio Vascular Sutures" and "atraumatic Needled Sutures", the first used in Cardio Vascular Surgery and the latter used in Ophthalmic Surgery. By Notification No. 339/86-CE dated 11/6/1986 issued under sub-rule (1 of Rule 8 of the central Excise Rules, 1944, (hereinafter called "the Rules") certain life-saving equipments were exempt from the whole of the duty of excise leviable thereon. The exact text of the notification may be reproduced at this stage.

"exemption to Medical and Surgical Instruments and Apparatus etc.-In exercise of the powers conferred by sub-rule (1 of Rule 8 of the central Excise Rules, 1944, the central government hereby exempts medical and surgical instruments and apparatus and parts and accessories thereof of the description specified in the Schedule hereto annexed and falling within Ch. 90 of the Schedule to the central Excise Tariff Act, 1985 (5 of 1986, from the whole of the duty of excise leviable thereon which is specified in the said Schedule. "

( 2 ). It may be mentioned that Cardio Vascular Sutures have been shown at Serial No. 4 in the Schedule appended to the said notification.

( 3 ). By another