BHAGWATI, J. :- These three appeals involve common questions of law and the facts in all the three appeals are also similar barring difference only in the period in respect of which octroi duty has been claimed by the Kadi Municipality (hereinafter referred to as the Municipality) and paid by the New Chhotalal Mills Company Limited (hereinafter referred to as the Company) and the amount of such octroi duty and it would therefore be sufficient if only the facts of the first appeal are set out in full and a mere reference to the period and amount of octroi duty is made in so far as the second and third appeals are concerned. The history of the facts relevant for the purpose of these appeals dates back to 24th June 1933 when the Company purchased a Textile Mill from the Liquidator of the Laxmi Cotton Mills Company Limited at a public auction held by the District Judge, Mehsana. The Textile Mill was situate in Kadi comprised within the territories of the former State of Baroda. After purchasing the Textile Mill the Company started running it from June 1934. It appears that around this time the Company made an application to the Baroda Government for exemption from certain taxe