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2007 (3) TMI 613 - AT - Central ExciseDemand of duty, interest and penalty - valuation of DNTCF - Receipt of duty paid dipping chemicals free of cost, availment of the duty paid as credit and excluding the cost of chemicals from the value of dipped nylon tyre cord fabrics - HELD THAT:- The facts of the case of Jay Yuhshin Ltd. v. C.C.E [2000 (7) TMI 105 - CEGAT, COURT NO. I, NEW DELHI-LB] are identical to those of the case on hand except that the goods had not moved to SRF under documents prescribed in Rule 57F(4). The free supply of dipping chemicals indicate the arrangement between Goodyear and SRF which ensured the supply to Goodyear of NDTCF manufactured with the free supplies. Movement of goods under Rule 57F(4)(i) & (ii) on payment of duty had served only this purpose in the case discussed in Jay Yuhshin Ltd. v. C.C.E.[2000 (11) TMI 250 - CEGAT, COURT NO. I, NEW DELHI]. They had started including value of free supplies from Goodyear from 1-4-1999. In the light of the ratio in the Apex Court’s in the International Auto Ltd.[2005 (3) TMI 132 - SUPREME COURT] by the ld. Counsel for the (appellants, we find that in the facts of this case, the demand of duty, interest and penalty in the impugned order are not sustainable. We vacate the orders to that effect. The impugned order is otherwise; affirmed as not challenged. The appeal is allowed on the above terms. The appellant shall not claim refund of the duty already paid on this account as undertaken by the Counsel on instructions.
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