ASSISTANT COLLECTOR OF CENTRAL EXCISE vs RAMAKRISHNAN KULWANT RAI

The Supreme Court held that Rule 10A of the Central Excise and Salt Rules, 1944, is valid and applicable even in cases where there has been no prior levy of excise duty. The Court emphasized that under Section 3 of the Central Excises and Salt Act, 1944, duties specified in the First Schedule are to be levied, and Rule 10A provides the necessary machinery for collection of tax. The High Court's decision to invalidate the demand based on Rule 10A was overturned, and the matter was remanded for further proceedings.