TMI Blog2000 (9) TMI 502X X X X Extracts X X X X X X X X Extracts X X X X ..... he authorites below have added the cost of these drawings in the assessable value of the impugned goods and has confirmed the demand of duty to the tune of Rs. 5,86,050/-. A personal penalty of Rs. 5,000/- has also been imposed on the appellants. 2. The appellant duly represented by Shri B.N. Chattopadhyay, ld. consultant, have contended that the value under Section 4(1)(a) of the Central Excises Act, 1944 is available being normal price at which the goods are ordinarily sold in the course of wholesale trade. As such, the said price has to be adopted for the purposes of payment of duty and there is no occasion to go to Rule 5 of the Central Excise Valuation Rules, 1975 inasmuch as the assessable value is not to be arrived at on the basis ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ellants had entered into a contract with their customer for supply of plastic component by using mould supplied free of charge by the customer. The Tribunal in Para 6 of the said decision observed as under :- "That had not these moulds been made available by the customers the appellant could not have manufactured moulded components as required by the customer. So the value of the mould must go in assessing the value of the finished product. It was only by taking into consideration the value of the mould, the value of the moulded components manufactured by the appellant was fixed. If the moulds were not supplied by the customers, the value of finished product would have been far greater than the amount fixed between the appellant and the c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e consideration for the sale of the finished products, if the mould was not supplied by the customer, the product could not have been manufactured. As such, the Larger Bench has held that the price of the finished goods fixed in the contract between the parties can safely be taken as not the sole consideration for the sale of the finished product, the other consideration being value attributable to the use of the mould. Similarly, in the instant case, we find that the contract between the appellants and the customer was for consideration of Lead Annealing Bath, though the drawings were to be supplied free of cost by their customer. As such, it cannot be said that the ingredient of Section 4(1)(a), which required the price to be the sole con ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e cost of the designs for the entire Lead Quenching Line in the value of one of the component of the said Line. Further, the authorities may also look into the appellants' contention that the said drawings were to be used for the manufacture of three numbers of Lead Annealing Bath, in which case, only 1/3 value of the said drawings being relatable to Lead Annealing Bath would be required to be added in the total value of the product in question. With these observations while rejecting the appeal on merits, we remand the matter to the original adjudicating authority for re-calculation of demand of duty against the appellants. 8. Further, in the instant case, when there were different decisions of the Tribunal holding divergent views, we do ..... X X X X Extracts X X X X X X X X Extracts X X X X
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