S.Shamsul Hasan, J.

1. Entirely an illegal demand by the Excise Department of the Government of Bihar from the petitioner of a huge amount of Rs. 9,00,592/- as loss of revenue has given rise to this application. The stand of the Government being entirely specious is without legal justification.

2. The petitioners carry on business of manufacturing sugar at the factory situated at Narkatiaganj. They have also a distillery manufacturing rectified spirit. Petitioner No. 1, which is a Company, had been granted a licence under Sec.13 of the Bihar and Orissa Excise Act, 1915 (hereinafter referred to as the Act) in Form No. 28A for the manufacture of spirit in its distillery for use in the manufacture of chemical and for Industrial, Scientific and other purposes. It may be stated here that petitioner No. 1 is not a licensee for manufacturing and dealing in wholesale trade of country spirit.

3. According to condition No. 1 of the licence, the licensee shall be bound to supply out of his total production of spirit such quantity or quantities to such person or concerns as the Excise Commissioner may from time to time direct. Under condition No. 7 the licensee shall have to make depos