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16. In the case of WPIL Ltd. Ghaziabad vs. Commissioner of Central Excise, Meerut, U.P. (2005) 3 SCC 73, the appellant was the manufacturer of power-driven pumps and parts thereof. According to the appellant, the notifications were issued right from 1978 exempting levy of excise duty. It was their case that in 1994, in order to consolidate various exemption notifications, the Government had rescinded 389 notifications with effect from 1.3.1994 and reissued a consolidated notification incorporating earlier notifications vide Notification No. 46/94 dated 1.3.1994. It was submitted that the power-driven pumps were shown as an exempted item. However, due to inadvertence, parts of power-driven pumps used in manufacture of pumps within the factory which were all along exempted from 1978 were omitted. It was stated that the said omission was brought to the notice of the Government by the industries. It was further submitted that the Government was satisfied and accordingly Mhi 30 CEXA-L-20-15.sxw amended Notification No.46/94 vide Notification No.95/94 dated 25.4.1994 correcting the mistake and clarifying the position that parts of power-driven pumps which were to be utilized for manufacturing power-driven pumps within the factory would also be exempted. However, for the period 1.3.1994 to 25.4.1994, proceedings were initialed against the manufacturers for clearing parts without payment of duty. The Assessing Authority confirmed the demand. The learned CEGAT dismissed the appeal In this background, while allowing the appeal, the Apex Court observed in para 16 :-

"16. In view of the consistent policy of the Government of exempting parts of power driven pumps utilized by the factory within the factory premises, it could not be said that while issuing notification No.46/94 of March 1, 1994, the exemption in respect of said item which was operative was either withdrawn or revoked. The action was taken only with a view to rescinding several notifications and by issuing a composite notification. The policy remained as it was and in view of demand being made by the Department, a representation was made by the industries and on being satisfied, the Central Government issued a clarificatory notification No.95/94 on April 25, 1994. It was not a new notification granting exemption for the first time in respect of parts of power driven pumps to be used in the factory for manufacture of pumps but clarified the position and made the position explicit which was implicit."

22. In the case of WPIL Ltd. Ghaziabad (cited supra), it was found that right from 1978, various notifications were issued exempting the payment of duty on the manufacture of power-driven pumps and parts thereof. However, when various notifications granting exemptions were consolidated and fresh notification was issued on 1.3.1994, though the power-driven pumps were included in exempted items, the parts of power-

driven pumps were omitted. A representation was made to the Government pointing out this error. Accordingly, by subsequent notification dated Mhi 37 CEXA-L-20-15.sxw 25.4.1992, the said mistake was corrected. In this background, it was found that the notification dated 25.4.1992 was clarificatory in nature.