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2016 (3) TMI 519 - AT - Central Excise100% EOU - whether the benefit of Central Excise (Removal of goods at concessional rate of duty for manufacture of Excisable goods) Rules, 2001 is available to 100% EOU - Held that:- Appellant have cleared the goods under statutory provisions of Notification No. 43/2001 CE (NT) dated 26/6/2001 read with the provisions of Central Excise (Removal of goods at concessional rate of duty for manufacture of excisable goods) Rules, 2001. We agree with the Ld. Counsel that no restriction or prohibition is provided in the law for application of such provisions to 100% EOU. Under the above said provisions clearances are allowed without payment of duty only for the reason that the buyer undertakes to use the said duty free goods for manufacture of goods which would be exported. The contention of the show cause notice, objections of the Adjudicating authority that the restrictions provided under Section 5A, we are of the view that the appellant have not cleared the goods under any notification which was issued under Section 5A. The Notification No. 43/2001-CE (NT) and the provisions of Central Excise (Removal of goods at concessional rate of duty for manufacture of excisable goods) Rules, 2001 prescribed the procedure for clearance of the goods without payment of duty and the said notification was not under Section 5A, therefore contention of the Adjudicating authority is misleading. We are of the considered view that the demand confirmed by the Adjudicating authority is not sustainable.
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