SARABHAI M.CHEMICALS vs COMMNR. OF CENT.EXCISE,VADODARA — C.A. No. 2736 - 2738/1999

Summary of Sarabhai M. Chemicals v. Commissioner of Central Excise, Vadodara (2004) The Supreme Court allowed Sarabhai M. Chemicals' appeals and set aside three excise duty demands as time-barred. Although the court found on merits that sorbitol solution sold to non-pharmaceutical companies (cigarette, soap, rubber units) was ineligible for bulk drug exemption under Notification 234/86, the demands could not be sustained because they exceeded the one-year limitation period under Section 11A(1) of the Central Excise Act without evidence of willful suppression of facts—the company had disclosed consignee names in gate passes and monthly returns all approved by the department. This case analysis is maintained by casestatus.in based on publicly available court records.