- (1.) The only question which arises for consideration in the present case pertains to the interpretation of notification dated 1/03/1981 whereby an incentive scheme was provided for higher production. The notification inter alia provided that goods mentioned in the first schedule of the Central Excise Act which were cleared by a factory for home consumption during the period 1/03/1983 to 29/02/1984 which were in excess of the base clearances would be entitled to certain benefit as far as excise duty was concerned. The notification also stipulated the conditions on which the benefit could be available. The appellants have been denied benefit because of condition no. (iv) which reads as follows : "(Iv) No credit shall be allowed in respect of a factory from which clearances of the specified goods :- (a) were effected for the first time on or after the 1st day of April, 1980; or (b) were not effected during the financial years 1980-81, 1981-82 and 1982-83. "
(2.) It is not in dispute that though the appellants had effected clearance for the first time prior to 1/04/1980, but they had no clearances in respect of the years 1980-81 and 1981-82. There were clearances effected by the appellants only in the year 1982-83.
(3.) The tribunal came to the conclusion that on a correct interpretation of the said notification, it was imperative that the appellants should have effected clearances in each one of the years 1980-81, 1981-82 and 1982-83. Apart from construing the language of the aforesaid sub- clause (iv) in that way, the tribunal also referred to the fact that clause 2 which defined "base period" indicated that the contention of the appellants that if there was clearance in any one of the three years 1980-81, 1981-82 and 1982-83, was insufficient. This clause 2 reads as follows : "(2) 'Base period' shall be the year in which the aggregate of the clearances of specified goods during the period, commencing on and from the 1st day of March, 1981 and ending with the 28th day of February, 1982 or the period commencing on and from the 1st day of March, 1982 and ending with the 28th day of February, 1983, whichever was higher. ";