TMI Blog2005 (2) TMI 847X X X X Extracts X X X X X X X X Extracts X X X X ..... bricating oil ordinarily used for lubrication. The undisputed process of manufacture of the said product as stated by the appellant is as under: Base Oils are taken to the blending kettle, heated to remove moisture. Additives are added and mixed well. Temperature reduced and MTO and green dye added and mixed well, to get the final product. Admittedly, the flash point of the Super TT is below 94oC Therefore, assessee appellant claimed that the same is not classifiable under Heading 2710.60 of the Tariff under Customs Tariff Act, 1985 ( in short the Tariff Act ) as the same covers lubricating oils having flash point more than 94:C. As such, the product was claimed to be classifiable as others under sub-heading 2710.99. Revenue disputed the position and held that the benefit of the Exemption Notification No.120/84-CE dated 11.5.1984 is applicable only to the lubricating oils falling under sub-heading 2710.60, as there is no other heading for lubricating oil in the Tariff Act. The appellant s stand was that the said Exemption Notification extends the benefit to all types of lubricating oils, irrespective of their classification. As its product is admittedly a lubricat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tion. The Notification No. 120/84-CE was issued on 11.5.1984 when the earlier Excise Tariff was a part of the First Schedule of the Act. The said notification exempted blended and compounded lubricating oils i.e. lubricating oils obtained by straight blending of mineral oils or by blending or compounding of mineral oils with other ingredients. The said exemption was granted without reference to any tariff item under which such blended and compounded lubricating oils were classified. The new Excise tariff contained in the Tariff Act came into force w.e.f. February 1986. Under that Tariff, blended or compounded lubricating oils with flash point above 94: C were classifiable under sub-heading 2710.60 and other lubricating oils along with other petroleum products were classified under Chapter sub-heading 2710.99 which was a residuary entry. The Exemption Notification No.120/84-CE continued un-amended till it was rescinded by Notification No.64/94-CE dated 1.3.1994. Three classification lists were filed by the appellant which were operative from 1.4.1986, 5.5.1996 and 1.3.1998. All these classification lists were approved by Assistant Commissioner by extending the benefit of Notificatio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... te of the entries and relevant Notifications at different points of time. The Notification dated 16.3.1976 read as follows: The Central Government has exempted the excisable goods of the description in column (3) of the Table below and falling under the Item of the First Schedule to the Central Excise and Salt Act, 1944 (1 of 1944), specified in the corresponding entries in column (2) of the said Table, from so much of the duty of excise leviable thereon under Section 3 of said Act as is in excess of the duty leviable at the rates specified in the corresponding entries in column (4) of the said Table; TABLE S.No. Item No. Description Rate of duty (1) (2) (3) (4) 6 11B Blended or Compounded lubricating oils and greases. Nil. Notification dated 11.5.1984 reads as follows: BLENDED OR COMPOUNDED LUBRICATING OILS AND GREASES. 120/84-CE, dt. 11.5.1984. Blended or compounded lubricating oils and grease are fully exempt from basic excise duty. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pletely knocked down pack would be considered to be cars. But in view of the clear language of the Notification the components including components in completely knocked down packs are exempted. Effect must be given to the wording of the Notification. Thus components in completely knocked down packs would get the exemption under this Notification, even though for purposes of classification they may be considered to be cars. Section 5A(4)of the Act reads as under: Every notification issued under sub-rule (1), and every order made under sub-rule (2) of Rule 8 of the Central Excise Rules, 1944, and in force immediately before the commencement of the Customs and Central Excise Laws (Amendment) Act, 1987 shall be deemed to have been issued or made under the provisions of this Section and shall continue to have the same force and effect after such commencement until it is amended, varied, rescinded or superseded under the provisions of this Section. Undisputedly in the present case there was no reference to any tariff entry in the Notification. Therefore, the majority view is clearly unsustainable. Additionally, we find that CEGAT had in some other cases taken the same vie ..... X X X X Extracts X X X X X X X X Extracts X X X X
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