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2016 (6) TMI 541 - CESTAT CHENNAIValuation - Job worker - manufacture and clearance of intermediary goods to the principal manufacturer for manufacture of final goods - addition of 115% of the cost of production - Held that:- the appellant was related to the principal manufacturer as interconnected undertaking and covered by Section 4(3)(b)(i) of the CEA, 1944. Such a case fundamentally goes out of the scope of Rule 9 of Valuation Rules because that rule does not cover the interconnected undertaking within its fold. Therefore, there is no necessity to examine even applicability of the proviso in the present case. Since the case falls under Section 4(3)(b)(i) of CEA, 1944, valuation it goes to Rule 10 (b) of the Valuation Rules. That sub-clause of Rule 10 requires valuation of goods under Section 4 (1) of CEA, 1944. Accordingly, the sequential step is to follow the ratio laid down in the case of Ujagar prints Etc.Etc. Vs. UOI & Others [1989 (1) TMI 124 - SUPREME COURT OF INDIA]. Such manner of valuation is not questioned by Revenue. Therefore, there is no need to go further since the assesse says that Ujagar prints procedure has been followed and Revenue totally ignored such aspect to be examined. Therefore, the Tribunal cannot make a new case to create jurisdiction for it to decide the issue not before it. Since the case is covered by Section 4 (3) (b) (i), the present appeal is answerable in terms of Rule 10 read with Section 4 itself. - Decided in favour of appellant with consequential relief
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