9911796707
TMI Blog2013 (12) TMI 222X X X X Extracts X X X X X X X X Extracts X X X X ..... that since the appellant had taken Cenvat credit on the inputs and since they have not maintained separate account and inventory of the inputs meant for dutiable final products and exempted final product, they are required to pay an amount equal to 10% of the value of the press mud in accordance with Rule 6 (3) of the Cenvat Credit Rules, 2004. It is on this basis that demand of Rs. 89,155/- was confirmed for the period from May 2008 to March 2009, alongwith interest and penalty of equal amount was imposed. On appeal to Commissioner (Appeals), the Commissioner (Appeals), while upholding the demand of Rule 6 (3) of Cenvat Credit Rules, alongwith the interest, set aside the penalty. Against this order, the present appeal stands filed. 2. He ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ording to which, the 'goods' includes any article, material or substance which is capable of being bought and sold for a consideration and such goods shall be deemed to be marketable, that since the press mud was being sold, in terms of the amended provisions of Section 2 (d), the same has to be treated as excisable goods and hence the provision of Rule 6 (3) would be applicable. He, therefore, pleads for rejection of the appeal. 3. I have carefully considered the submissions from both the sides and perused the records. 4. The item, in question, i.e. press mud is the impurity of the cane juice which has to be removed by cleaning the same and the press mud arises in course of cleaning of the cane juice. Under the provisions of Rule 6 (2) o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n 2009 (233) E.L.T. 301 (Bom.). 5. I also take note of latest decision of the Hon'ble High Court of Madras reported as Commissioner of Central Excise, Pondicherry V/s. EID Parry (I) Ltd. 2013(293) ELT 10 (Mad.) wherein while dealing with an identical issue of applicability of Rule 6 to press mud emerged during the manufacture of sugar and spent emerged during the manufacture of Denatured Ethyl Alcohol, the Hon'ble Court rejected the Revenue's stand by observing as under:- 16. As rightly contended by the learned counsel for the assessee, the characteristic of sugarcane containing various chemicals cannot be stopped or prevented by the manufacturer to pass on even to the wastes, as it is undoubtedly a natural ..... X X X X Extracts X X X X X X X X Extracts X X X X
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