In fact the argument raised on behalf of the defendant2 appellant is that the respondent2Company is using its factory premises as engine house, which is driven by electric power/oil engine and therefore, the demand raised by way of the notices was correct. However, it cannot be disputed that the aforesaid premises are neither being used as shop nor workshop and moreover the respondent2 Company was already having a licence for running the generator sets from the Electricity Board, and thus, the respondent which is a factory does not come under the ambit of item No.3 of the Notification dated 20.07.1998 (Ex.D4) as it is not a shop/workshop/engine house being run with the help of electric power or oil engine of 50 HP or more, having one or more engines. There is nothing on record to show that the factory in question is covered by Item No.3, rather it being a manufacturing unit is a factory and is covered by Item No.34 of the said Notification (Ex.D4), which provides that the premises being used as commercial shop or workshop or factories covered by Indian Factories Act whether specified elsewhere or not and from which offensive or unwholesome nuisance, noise, smoke, smell arises or manufacture is carried on the basis of contract or otherwise, and for that admittedly, the respondent2Company is having a licence and is paying the licence fee. Even the appellant has admitted in its written
