M/S. Jay Mahakali Rolling Mills vs Union Of India & Ors

The Supreme Court upheld the decision of the Gujarat High Court, affirming the orders of the Customs, Excise & (Gold) Control Appellate Tribunal regarding the imposition of central excise duty and penalty on M/s Jay Mahakali Rolling Mills. The Court clarified that the amendment made by Notification No.101/87-C.E. dated 27.3.1987 had only prospective application and was not clarificatory as claimed by the appellant. The Court dismissed the appeal, confirming the liability for duty and the reduced penalty of Rs.75,000 under Rule 173-Q of the Central Excise Rules, 1944.