JUDGMENT - C.S. DHARMADHIKARI, J.:---The petitioners, that is, Simonds Marshal Ltd. are carrying on business of manufacturing and selling a product known as 'Nyloc self-locking nut', (hereinafter referred to as the petitioners' product). Initially from year 1971 to 1975 i.e. till the tarrif item 68 was introduced, the petitioners were paying the duty at the rate specified in Tariff Item 52. The Tariff Item 68 was introduced on 1st of April, 1975. Thereafter correspondence took place between the petitioners and the Excise Authorities on the question of classification of the said petitioners' product vide order dated 17th of June, 1976 the Authorities held that the petitioners' product was rightly classified under T.I. 52. Against this order the petitioners filed an appeal to the Appellate Collector. The Appellate Collector vide his order dated 23rd of August, 1976 allowed the appeal filed by the petitioners and held that the petitioners were liable to pay duty at the rate specified in T.I. 68 and not T.I. 52. On that basis the petitioners paid duty and were allowed to clear the product. On 15th of June, 1977 a show cause notice was issued by the Central Government under section 36(2

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