M/S CIPLA LTD. vs COMMNR. OF CENTRAL EXCISE, BANGALORE

The Supreme Court, in Civil Appeal No. 5793 of 2002, held that Benzyl Methyl Salicylate (BMS) is not an excisable product under the Central Excise Act, 1944, as it was not marketable. The Court emphasized the necessity of proving marketability for excise duty applicability, referencing the precedent set in Bhor Industries Ltd. v. C.C.E. The Court upheld the Assistant Collector's decision that the Revenue failed to demonstrate BMS's marketability, thus ruling in favor of the appellant and reversing the Tribunal's order.