Sarabhaim.Chemicals vs Com.Of Cen.Excise,Vadodara

The Supreme Court, while adjudicating appeals under Section 35L(b) of the Central Excise Act, 1944, upheld the majority decision of the Customs, Excise and Gold (Control) Appellate Tribunal, which dismissed the appellant's claims for exemption under notification no. 234/86. The Court clarified that the exemption is contingent upon the end use of the products, and since the appellant sold sorbitol solution to non-pharma concerns, the exemption was not applicable. The Court affirmed the demand for excise duty under Section 11-A(1) of the Act, ruling that the appellant's interpretation of the notification was incorrect.