TMI Blog2010 (10) TMI 152X X X X Extracts X X X X X X X X Extracts X X X X ..... -2010 - Shri Ashok Jindal, JJ. REPRESENTED BY : Shri G.K. Sarkar, Advocate, for the Appellant. Shri Anil Khanna, SDR, for the Respondent. [Order]. This appeal is directed against the order of duty, interest and confirmation of penalty under Section 11AC of the Central Excise Act, 1944. The facts of the case are that during the course of audit of the records of the appellant it was observed that the appellants had declared the value of fabrics lying under process as on 31st March, 2003/1-4-03 by adding the process cost in the value of under processed grey fabrics and taken the credit in terms of the Notification No. 25/03 dated 25th March, 2003. Accordingly the statement of the Director of the appellant company was repor ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . reported in 2004 (178) E.L.T. 984 (Tri. - Bom.). 3. On the other hand, the ld. DR submitted that as per Notification No. 35/2003-C.E. (N.T.), dated 10th April, 2003 which is reproduced here as under - Notification No. 35/2003 - C.E., (N.T.) dated 10th April, 2003 In exercise of the powers conferred by sub-rule (3) of rule 9A of the Central Excise Rules, 2002, the Central Government, hereby declares, for the purposes of the said rule, the amount of credit of duty, as specified in column (3) of the table below, on inputs lying in stock or in process or on inputs contained in finished goods lying in stock, as specified in the corresponding entry in column (2) of the said Table, namely :- TABLE S. No Description ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 40 of 1978), as the case may be, read with any notification, as on the 1st day of April, 2003; Explanation 3. - For the purposes of this notification, composite mill means a manufacturer who is engaged in the processing of fabrics with the aid of power along with the spinning of yarn from fibres and weaving or knitting or crocheting of fabrics within the same factory and includes a multi-locational composite mill, i.e., a public limited company which is engaged in the processing of fabrics with the aid of power along with the spinning of yarn from fibres and weaving or knitting or crocheting of fabrics in one or more factories owned by the same public limited company. and as per Sl. No. 1 clause (c) the fabrics unprocessed or processed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d. In fact a semi-finished goods may be input for some other unit, but that cannot be said to be input for the appellants own unit. Hence, the facts of the case of Balkrishna Textiles Pvt. Ltd. are not applicable to this case. In fact the cash discount, processing charges including the colours and chemical, transport, profit and margin are to be deducted from the value on which the appellant has taken the credit. Hence, the duty demand is confirmed against the appellant. 6. The appellant has not disclosed that how they have arrived at the value of fabrics to avail credit on 31st March, 2003. Hence, they have suppressed the facts from the Department. Accordingly, the extended period is invokable in this case. With regard to the penalty und ..... X X X X Extracts X X X X X X X X Extracts X X X X
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