TMI Blog2006 (6) TMI 301X X X X Extracts X X X X X X X X Extracts X X X X ..... 26 of the Rules. 1.2 The company is engaged in the manufacture, inter alia, of plastic laminated film and pouches at their factory at Mahad and hold necessary registration. They started a processing unit in Silvasa in their own name where manufacture of pouches falling under Heading 3923.90 was undertaken. They were carrying out the activity of slitting and cutting of duty paid plastic laminated films, into smaller rolls up to August 2001, thereafter they stopped both these activities. 1.3 They had cleared plastic film on payment of duty to Silvasa unit. The jurisdictional officers issued a notice alleging that the said activity of slitting and cutting of duty paid jumbo rolls of these duty paid films was amounting to manufacture und ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... riod 1-2-2001 to 31-10-2001 demand is within time as w.e.f. 12-5-2000 the limitation has been increased from six months to one year: 1.5 The grounds taken in this appeal are : Ld. Commissioner has erred in passing the impugned order without considering and appreciating the submissions made before him, provisions and settled position of law on the issue, inasmuch as : (i) that activity of conversion of Jumbo Rolls (500mm to 700mm) into Smaller Rolls (250/285/300mm) by the process of slitting in lesser width, length wise, does not amount to manufacture, based on various judgements and CBEC instructions on the issue. (ii) That, in any case, the amount of duty paid on the clearance of Jumbo Rolls is more than the duty demanded and s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... was arrived at after concluding in Para 13 of the report : The process of manufacture is bound to undergo transformation with the advancement in science and technology. The name of the end-product may, by reason of new technological processes, change but, the basic nature and quality of the article may still answer the same description... Therefore, if by slitting the jumbo rolls, rolls of film are obtained which are nothing but pouches or intended to be used to form filled pouches by the consumer, manufacture would take place. The rolls as still would be a new commercially known and understood goods as roll of pouches rather than a jumbo roll of plastic film and duty liability may arrive, following the decision in the case of Lam ..... X X X X Extracts X X X X X X X X Extracts X X X X
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