TMI Blog2015 (10) TMI 1363X X X X Extracts X X X X X X X X Extracts X X X X ..... egory of 'any other process' as mentioned in Note 2 of the Chapter 52 of the Central Excise Tariff Act, 1985. - processes of Chemiking and Sporting undertaken by the Appellant does not amount to manufacture - Decided in favour of assessee. - Appeal No. E/927/2007 - - - Dated:- 30-4-2015 - P K Das, Member (J) And H K Thakur, Member (T),JJ. For the Appellant : Shri Uday Joshi, Adv. For the Respondent : Shri Alok Srivastava, AR ORDER Per: H K Thakur: 1. This appeal has been filed by M/s Nhh Textile Processors, Ahmedabad with respect to OIA No.187 to 188/2007, dt.30.04.2007. 2. Shri Uday Joshi, learned Advocate appearing on behalf of the Appellant argued that this is a second round of litigation and in the firs ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of Chemiking and Spotting undertaken by the Appellant amounts to manufacture under Section 2(f) of the Central Excise Act, 1944 or not. As per the order dt.07.08.2006 passed by this Tribunal in Appeal No.E/1666/2006, following order was passed in the case of appellant while remanding the issue to the adjudicating authority:- The appellants were undertaking the processing of Spotting, Chemiking and washing if processed fabrics on job work basis which were received from their principal manufacturer under Rule 4(5)(a) of CENVAT Credit Rules, 2002 procedure. Their main contention is that the said process does not amount to manufacture and therefore, no duty liability can be fastened on them and cited the decision of the Tribunal in the cas ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ter 55 of the Central Excise Tariff Act, 1985, specifically stipulates that in relation to products of Heading Nos.55.11, 55.12, 55.13 and 55.14, bleaching dyeing, printing, shrink-proofing, tentering, heal-setting, crease-resistant processing or any other processes or any one or more of these processes, shall amount to 'manufacture'. I further find that Partner of the noticee has admitted during the course of hearing that they are doing the processes of spotting and chemiking by applying some chemicals, soap, detergent. It is on record that after completion of spotting and chemiking process on the semi finished fabric received from M/s M.H. Mills, it was cleared back to M/s M.H. Mills and was subjected to further- processes there. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... not a case of washing simpliciter out is a case where the respondents are admittedly involved in the complete process of dyeing of man-made fabrics. A similar view has also been given by the Tribunal in case of CCE Vs S.S. Mehra Co. reported at 1992 (62) ELT 456 (Tribunal). 6.1 It is observed from the findings of the Adjudicating Authority that the fabrics are received by M/s Nhh Textile Processors and after undertaking the processes of Chemiking and Spotting, the goods are sent back to M. H. Mills and subject to further dyeing. The learned Adjudicating Authority held that the dying is consisting of two processes. The first process was that of washing of the fabrics which is done by the Appellant before the fabrics could be dyed by th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , the product became ready for specific use for ladies only after the process carried, out by the appellants and was therefore leviable to duty as 'wadding of man-made fabric' under CETA sub-heading 5601.22. The Commissioner (Appeals) has relied upon Note 4 to Chapter 60 of the schedule to the CETA, 1985, which states that in relation to the products referred to in this Chapter, bleaching, mercerising, dyeing, printing, water-proofing, shrink-proofing, tentering, near-setting, crease-resistant, organdie processing or any other process or any one or more of these process shall amount to manufacture and has yet classified the product in dispute under Chapter Heading 56.01. It is to be noted that washing is not a process of manufactu ..... X X X X Extracts X X X X X X X X Extracts X X X X
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