9911796707
TMI Blog2009 (1) TMI 831X X X X Extracts X X X X X X X X Extracts X X X X ..... hows. As already noted, there is no production of a commercially different article from a different raw material and LPG remains as LPG after the entire process is over. In such circumstances, no merit in the writ petition and it is dismissed. - W.P. (C) No. 33901 of 2008 - - - Dated:- 28-1-2009 - JOSEPH K.M., JJ. K.M. JOSEPH J. The petitioner challenges exhibits P5 and P10 and seeks a direction to pass fresh orders on exhibits P1 after considering all the grounds raised in exhibits P1 appeal. Further ancillary prayers are also raised. The case of the petitioner in brief is as follows: Petitioner is a small-scale industry which applied for exemption from payment of sales tax under the provisions of SRO No. 1729/1993. The ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n. Manufacture has been defined as follows in clause 11(ix) of SRO No. 1729/93: 'Manufacture' shall mean the use of raw materials and production of goods commercially different from the raw materials used but shall not include mere packing of goods, polishing, cleaning, grading, drying, blending or mixing different varieties of the same goods, sawing, garbling, processing one form of goods into another form of the same goods by mixing with chemicals or gas, fumigation or any other process applied for preserving the goods in good condition or for easy transportation. The process of producing desiccated coconut out of coconut shall be deemed to be 'manufacture' for the purpose of this notification. The following proce ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... defines 'manufacture of gas' in rule 2(xxv) as filling of a cylinder with any compressed gas and also includes transfer of compressed gas from one cylinder to any other cylinder. Similarly section 4(h) of the Explosive Act also gives a definition for the word 'manufacture' in the same lines. Similarly even the word 'manufacture' expressed in SRO No. 1729 of 1993 means the use of raw materials and production of goods commercially different from the raw materials. The submissions made in the preceding paragraph will definitely show that the bottling of LPG is not mere packing. 7.. Now the next question is whether there is an emergence of any goods during the manufacture, which is commercially different from the raw ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... red with the First Schedule of the Industries (Development and Regulation) Act, 1951 and licence under the Act was necessary till 1994. It is also pointed out that in Karnataka and Andhra Pradesh, it is being treated as manufacture. It is also pointed out that a new commercially different product emerges in this process. Per contra, learned Government Pleader Sri C.K. Govindan would submit that it is a clear case where absolutely no manufacture is involved. LPG remained as LPG even after process undertaken by the petitioner is completed. It is further pointed out that actually it would amount to packaging and no new commercial product emerged. There can be no doubt that the question as to whether it is manufacture or not is to be answ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er nitrogen is decanted to fill LPG under strict control of the parameters like pressure and temperature. This is the complex process which is adverted to. This process, in my view, is apparently undertaken for the purpose of filling the small cylinders with LPG. In other words, what is brought in bulk is transferred into small cylinders and for carrying out this process, purging of oxygen from the cylinder by pumping in nitrogen and subsequently decanting nitrogen under the strict control of the parameters like pressure and temperature is undertaken. By no stretch of imagination, can it be said that this involves production of a commercially different article. What was LPG remains LPG in smaller cylinders. Learned counsel for the petiti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... each it to the end consumer it has to be packed into smaller cylinders. It may be necessary for marketing it to the end consumer. I am not able to find out as to what are the raw materials from which this LPG is made. In other words, LPG is transferred from bulk quantity into smaller cylinders. There is no raw materials as such from which a product is made which can be said to be commercially different. Apparently, the makers of the notification intended to promote manufacturing activity within the State. It has expressed its clear intention not to extend the benefit to activities like packaging as the definition shows. As already noted, there is no production of a commercially different article from a different raw material and LPG remains ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
