SECY., REVENUE DEPTT.(CT II)A.P.&ORS vs U.O.I.

The Supreme Court addressed whether F.L. 1 and F.L. 3 license-holders under the Kerala Abkari Act are liable to pay increased excise duty on unsold liquor stock due to amendments in Section 18. The Court held that the proviso to Section 18(3) applies to all licensees, including F.L. 1 and F.L. 3, thus allowing the State to recover the difference in excise duty. The judgment reversed the Kerala High Court's decision, affirming the State's authority to impose the additional duty on the appellants.