Kalyan Chemicals vs Government Of A.P. & Ors

The Supreme Court upheld the legality of the Administrative Fee of 50 paise per bulk litre on industrial alcohol under the Andhra Pradesh Denatured Spirit and Denatured Spirituous Preparations Rules, 1971, as amended by G.O.M. No. 147. The Court clarified that the State has the authority to levy such fees under Entry 8 of List II, provided the primary purpose is regulation and the fee is incidental. The Appellant's challenge to the amendment as arbitrary and ultra vires was rejected, affirming the High Court's decision.