More than one-and-a-half years after the Tamil Nadu government banned gutkha products and pan masala, manufacturers of such products have moved the Madras high court against the May 23, 2013 ban order. The court issued notices to the state and central governments. Justice T S Sivagnanam, before whom the writ filed by Tamil Nadu Pan Beeda and Zarda Traders Association came up for admission on Friday, issued notices to the state and central governments, and posted it after three weeks for further hearing.
Pointing out that banning these specific tobacco products alone, while allowing free run for cigaretts, ciagrs and beedis, they said it would amount to discrimination. Also, while no Central legislation has banned the products, states alone could not ban them, they said, adding there is a "repugnancy between two statutes'.
The manufacturers wanted police and food safety department officials to stop interfering with their business.
109.29cr fine collected from tobacco dealers: The state commercial taxes department has collected 109.29 crore as fine for evasion of payment of sales tax on tobacco products. On Tuesday, based on action initiated against evading dealers in Coimbatore division,
a fine of 41.29 lakh was collected from tobacco dealers for tax evasion in Coimbatore for selling tobacco products without proper invoices and keeping stocks in unregistered godown. In Chennai, one enforcement division recovered tax and penalty of 29 lakh and another 13 lakh. On January 25, a passenger bus has been seized with contraband cigarettes and Rs10 lakh collected as tax and penalty.
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