Allowed

Normandy Breweries and Distilleries Pvt. Ltd. v. State of Kerala

Kerala HC21 Dec 2022WP(C)/50/2022

Case brief

AI extract

What is this about?

The Kerala High Court held that the Excise Department cannot demand full 'Cost of Establishment' including pay and allowances for an Inspector officiating as additional charge in multiple units. The Court directed respondents to charge only additional charge limits as per Rule 53(b) of Part I KSR and recompute dues.

What did the court decide?

The Court quashed prior demands for full establishment costs and directed Respondents to charge only additional charge limits as per Rule 53(b) of Part I KSR and recompute dues.

Normandy Breweries and Distilleries Pvt. Ltd. Vs State of… — Customs and Excise | Kerala HC (2022)

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IN THE HIGH COURT OF KERALA AT ERNAKULAM

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PRESENT

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THE HONOURABLE MR. JUSTICE AMIT RAWAL

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WEDNESDAY, THE 21^ST DAY OF DECEMBER 2022 / 30TH AGRAHAYANA, 1944

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WP(C) NO. 4161 OF 2022

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PETITIONER/S:

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CASSANOVA DISTILLERIES PVT. LTD NATTAKAM P.O, KOTTAYAM - 686013, REPRESENTED BY ITS POWER OF ATTORNEY MR. K. MATHEWSON

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BY ADVS. RAJU K.MATHEWS CYRIL C. GEORGE

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RESPONDENT/S:

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1 STATE OF KERALA REPRESENTED BY ITS SECRETARY TO GOVERNMENT, TAXES DEPARTMENT, SECRETARIAT, TRIVANDRUM PIN - 695001.

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2 THE COMMISSIONER OF EXCISE, TRIVANDRUM, PIN - 695001.

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3 THE INSPECTOR OF EXCISE, CASSANOVA DISTILLERIES PVT.LTD, NATTAKAM P.O, KOTTAYAM - 686013. SRI. JIMMY GEORGE, GP

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THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 21.12.2022, ALONG WITH WP(C).50/2022, 8038/2022 AND CONNECTED CASES, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

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WP(C) NO. 4161 OF 2022

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IN THE HIGH COURT OF KERALA AT ERNAKULAM

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PRESENT

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THE HONOURABLE MR. JUSTICE AMIT RAWAL

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WEDNESDAY, THE 21^ST DAY OF DECEMBER 2022 / 30TH AGRAHAYANA,

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1944

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WP(C) NO. 50 OF 2022

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PETITIONER/S:

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NORMANDY BREWERIES AND DISTILLERIES PVT LTD CHEEMENI, CHERUVATHUR (VIA), KASARAGOD DISTRICT-671 313, REPRESENTED BY ITS MANAGING DIRECTOR MR.ARUN JOSEPH

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BY ADVS. RAJU K.MATHEWS CYRIL C. GEORGE

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RESPONDENT/S:

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1 STATE OF KERALA REPRESENTED BY ITS SECRETARY TO GOVERNMENT, TAXES DEPARTMENT, SECRETARIAT, TRIVANDUM, PIN-695 001

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2 THECOMMISSIONER OF EXCISE, TRIVANDRUM,PIN-695 001

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3 THE INSPECTOR OF EXCISE, NORMANDY BREWERIES AND DISTILLERIES PVT LTD., CHEEMENI, CHERUVATHUR (VIA) KASARAGOD DISTRICT-671 313

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4 DEPUTY EXCISE COMMISSIONER, EXCISE DIVISION OFFICE, KASARAGOD-671 313 SRI. JIMMY GEORGE, GP

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THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 21.12.2022, ALONG WITH WP(C).4161/2022 AND CONNECTED CASES, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

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WP(C) NO. 4161 OF 2022

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IN THE HIGH COURT OF KERALA AT ERNAKULAM

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PRESENT

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THE HONOURABLE MR. JUSTICE AMIT RAWAL

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WEDNESDAY, THE 21^ST DAY OF DECEMBER 2022 / 30TH AGRAHAYANA,

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1944

¶38

WP(C) NO. 8038 OF 2022

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PETITIONER/S:

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POLSONS DISTILLERY

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MURINGOOR, CHALAKUDY - 680309, REPRESENTED BY ITS MANAGING PARTNER MR. PAUL ANTO PERINCHERY.

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BY ADV RAJU K.MATHEWS

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RESPONDENT/S:

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1 STATE OF KERALA REPRESENTED BY ITS SECRETARY TO GOVERNMENT, TAXES DEPARTMENT, SECRETARIAT, TRIVANDRUM, PIN - 695 001.

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2 THE COMMISSIONER OF EXCISE TRIVANDRUM, PIN - 695 001.

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3 INSPECTOR OF EXCISE POLSONS DISTILLERY, MURINGOOR, CHALAKUDY - 680309.

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SRI. JIMMY GEORGE, GP

¶48

THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 21.12.2022, ALONG WITH WP(C).4161/2022 AND CONNECTED CASES, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

¶49

WP(C) NO. 4161 OF 2022

¶50

¶51

IN THE HIGH COURT OF KERALA AT ERNAKULAM

¶52

PRESENT

¶53

THE HONOURABLE MR. JUSTICE AMIT RAWAL

¶54

WEDNESDAY, THE 21^ST DAY OF DECEMBER 2022 / 30TH AGRAHAYANA,

¶55

1944

¶56

WP(C) NO. 12183 OF 2022

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PETITIONER/S:

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AMRUT DISTILLERIES PVT LTD

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M/S. AMRUT DISTILLERIES PVT. LTD., CHULLIMADA, PAMPAMPALLAM, PALAKKAD DIST. 678 621, REPRESENTED BY ITS GENERAL MANAGER (P& A) MR. AMBILI AMBAT.

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BY ADV RAJU K.MATHEWS

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RESPONDENT/S:

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1 STATE OF KERALA, REPRESENTED BY ITS SECRETARY TO GOVERNMENT, TAXES DEPARTMENT, THIRUVANANTHAPURAM 695 001.

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2 THE COMMISSIONER OF EXCISE, EXCISE COMMISSIONERATE, THIRUVANANTHAPURAM 695 001.

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3 EXCISE INSPECTOR, M/S. AMRUT DISTILLERIES PVT. LTD. CHULLIMADA, PAMPAMPALLAM, PALAKKAD DISTRICT, 678 621.

¶65

SRI. JIMMY GEORGE, GP

¶66

THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 21.12.2022, ALONG WITH WP(C).4161/2022 AND CONNECTED CASES, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

¶67

WP(C) NO. 4161 OF 2022

¶68

¶69

IN THE HIGH COURT OF KERALA AT ERNAKULAM

¶70

PRESENT

¶71

THE HONOURABLE MR. JUSTICE AMIT RAWAL

¶72

WEDNESDAY, THE 21^ST DAY OF DECEMBER 2022 / 30TH AGRAHAYANA,

¶73

1944

¶74

WP(C) NO. 20441 OF 2022

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PETITIONER/S:

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MR. T.R.VIJAYAKUMAR

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PROPRIETOR, ELITE DISTILLERIES AND BEVERAGES COMPANY, KIRALOOR P.O., MUNDOOR, TRISSUR-680541.

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BY ADV RAJU K.MATHEWS

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RESPONDENT/S:

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1 STATE OF KERALA, REPRESENTED BY ITS SECRETARY TO GOVERNMENT, TAXES DEPARTMENT, SECRETARIAT, TRIVANDRUM. 695001.

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2 THE COMMISSIONER OF EXCISE, TRIVANDRUM. 695001

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3 THE INSPECTOR OF EXCISE, ELITE DISTILLERIES AND BEVERAGES COMPANY, KIRALOOR P.O., MUNDOOR, TRISSUR – 680541.

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SRI. JIMMY GEORGE, GP

¶84

THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 21.12.2022, ALONG WITH WP(C).4161/2022 AND CONNECTED CASES, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

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WP(C) NO. 4161 OF 2022

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JUDGMENT

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Petitioners herein are different companies engaged in the business of manufacture of Indian Made Foreign Liquor and allied activities and are bound by the provisions of the Abkari Act, Rules thereunder. Licence conditions to enumerate to conduct its activities under the strict supervision and control of the Excise Department. In this regard contingent of the Department is posted at the the Unit of each petitioner. The petitioners are liable to pay for the 'Cost of establishment' under Rule 6(3) of the Kerala Foreign Liquor (Compounding, Blending & Bottling) Rules i.e. only the actual cost incurred by the first respondent, for deploying an employees of the Excise Department in the Unit.

¶89

The then incumbent in the post of Excise Inspectors, in the petitioner's unit was transferred and Excise Inspectors of another Excise range were given additional charge in the post of 3^rd respondents in all the above-mentioned petitioner companies. The case of the petitioners is that according to Rule 53(b) of Part I KSR, when an officer officiates in two independent posts at the same time, he would be entitled only to 'charge allowance' in respect of the duties discharged by him in the additional post, but the respondents demanded the 'Cost of Establishment' by including the pay and allowances for the post of Excise Inspector during the period from

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WP(C) NO. 4161 OF 2022

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which the latter held additional charge in the petitioner's unit.

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I have heard the learned counsels and appraised the paper book.

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There is already a direction by this court in WP(c ) No. 14971/2021 pertaining to similar matter and I deem it appropriate to dispose of the writ petitions accordingly as the grievance of the petitioners with respect to the claim of demand for pay and allowances applicable to the post of Excise Inspector in excess of what is payable in terms of Rule 53(b) of Part I KSR being illegal is justified and the respondents are hereby directed to charge only additional charge and not full charges of the persons who had already been transferred and whereby his role has been assigned by giving additional charge Excise Inspector, Excise Range Office. The respondents are directed to re-compute the amount payable by the petitioner by way of 'Cost of establishment' and demands made prior are hereby quashed.

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Writ petitions stand disposed of with the above mentioned directions.

Sd/-

sab

AMIT RAWAL

JUDGE

WP(C) NO. 4161 OF 2022

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¶102

APPENDIX OF WP(C) 50/2022

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PETITIONER EXHIBITS

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Exhibit P1 A TRUE COPY OF THE JUDGMENT DATED 26.05.2009 IN WPC NO.10459 OF 2008 Exhibit P2 A TRUE COPY OF THE LETTER DATED 09.12.2021 ADDRESSED TOT HE 4TH RESPONDENT Exhibit P3 A TRUE COPY OF THE DEMAND NOTICE NO NBD12/2021-22 DATED 28.12.2021 ISSUED BY THE 3RD RESPONDENT, ALONG WITH THE CALCULATION Exhibit P4 A TRUE COPY OF THE INTERIM ORDER DATED 20.07.2021 IN WPC 12752 OF 2021 Exhibit P5 A TRUE COPY OF THE ORDER DATED 31.08.2021 IN WPC 12752/2021 EXTENDING P4

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WP(C) NO. 4161 OF 2022

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¶107

APPENDIX OF WP(C) 8038/2022

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PETITIONER EXHIBITS

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Exhibit P1	A TRUE COPY OF THE JUDGMENT DATED 26.05.2009 IN WPC NO.10459 OF 2008.
Exhibit P2	A TRUE COPY OF THE LETTER DATED 07.03.2022 ADDRESSED TO THE 2ND RESPONDENT.
Exhibit P3	A TRUE COPY OF THE CHALAN ISSUED BY THE 3RD RESPONDENT FOR THE MONTH OF SEPTEMBER 2021.
Exhibit P4	A TRUE COPY OF THE CHALAN DATED 20.09.2021 ISSUED BY THE 3RD RESPONDENT FOR THE MONTH OF OCTOBER 2021.
Exhibit P5	A TRUE COPY OF THE CHALAN DATED 20.10.2021 ISSUED BY THE 3RD RESPONDENT FOR THE MONTH OF NOVEMBER 2021.
Exhibit P6	A TRUE COPY OF THE CHALAN DATED 20.11.2021 ISSUED BY THE 3RD RESPONDENT FOR THE MONTH OF DECEMBER 2021.
Exhibit P7	A TRUE COPY OF THE CHALAN DATED 20.12.2022 ISSUED BY THE 3RD RESPONDENT FOR THE MONTH OF JANUARY 2022.
Exhibit P8	A TRUE COPY OF THE CHALAN DATED 20.01.2022 ISSUED BY THE 3RD RESPONDENT FOR THE MONTH OF FEBRUARY 2022.
Exhibit P9	A TRUE COPY OF THE CHALAN DATED 19.02.2022 ISSUED BY THE 3RD RESPONDENT FOR THE MONTH OF MARCH 2022.
Exhibit P10	A TRUE COPY OF THE INTERIM ORDER DATED 20.07.2021 IN WPC 12752 OF 2021.
Exhibit P11	A TRUE COPY OF THE ORDER DATED 31.08.2021 IN WPC 12752 OF 2021 EXCLUDING P10.
Exhibit P12	A TRUE COPY OF THE CHALAN DATED 19.03.2022 ISSUED BY THE 3RD RESPONDENT.
Exhibit P13	A TRUE COPY OF THE CHALAN DATED 20.04.2022 ISSUED BY THE 3RD RESPONDENT.

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WP(C) NO. 4161 OF 2022

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¶112

APPENDIX OF WP(C) 12183/2022

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PETITIONER EXHIBITS

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Exhibit P1	A TRUE COPY OF THE JUDGMENT DATED 26.05.2009 IN W.P.C NO. 10459 OF 2008.
Exhibit P2	A TRUE COPY OF THE LETTER DATED 22.02.2022 ADDRESSED TO THE 2ND RESPONDENT.
Exhibit P3	A TRUE COPY OF THE DEMAND DATED 25.03.2022 ISSUED BY THE 3RD RESPONDENT, FOR THE MONTH OF APRIL, 2022.
Exhibit P4	A TRUE COPY OF THE INTERIM ORDER DATED 10.03.2022 IN WPC 8038 OF 2022.

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WP(C) NO. 4161 OF 2022

PETITIONER EXHIBITS

Exhibit P1 A TRUE COPY OF THE JUDGMENT DATED 26.05.2009 IN WPC NO. 10459 OF 2008. Exhibit P2 A TRUE COPY OF THE DEMAND DATED 25.03.2022 ISSUED BY THE 3RD RESPONDENT, FOR THE MONTH OF JUNE, 2022. Exhibit P3 A TRUE COPY OF THE INTERIM ORDER DATED 10.03.2022 IN WPC 8038 OF 2022.

¶120

WP(C) NO. 4161 OF 2022

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¶122

APPENDIX OF WP(C) 4161/2022

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PETITIONER EXHIBITS

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Exhibit P1	A TRUE COPY 26.05.2009	OF THE IN WPC	JUDGMENT DATED NO. 10459 OF 2008.
Exhibit P2	A TRUE COPY 03.02.2022 RESPONDENT.	OF THE ADDRESS	LETTER DATED ED TO THE 2ND
Exhibit P3	A TRUE COPY 26.11.2021	OF THE ISSUED	CHALAN DATED BY THE 3RD RESPONDENT.
Exhibit P4	A TRUE COPY 26.12.2021	OF THE ISSUED	CHALAN DATED BY THE 3RD RESPONDENT.
Exhibit P5	A TRUE COPY 27.01.2022	OF THE ISSUED	CHALAN DATED BY THE 3RD RESPONDENT.
Exhibit P6	A TRUE COPY 20.07.2021	OF THE IN WPC.	INTERIM ORDER DATED 12752 OF 2021.
Exhibit P7	A TRUE COPY 31.08.2021 P6.	OF THE IN WPC.	ORDER DATED 12752/2021 EXTENDING
Exhibit P8	A TRUE COPY 26/2/2022 I	OF THE SSUED B	CHALAN DATED Y THE 3RD RESPONDENT

Normandy Breweries and Distilleries Pvt. Ltd. v. State of Kerala

Case brief

What is this about?

What did the court decide?

Normandy Breweries and Distilleries Pvt. Ltd. v. State of Kerala

Case brief

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