TMI Blog2016 (9) TMI 573X X X X Extracts X X X X X X X X Extracts X X X X ..... iew of the same we hold that the activity undertaken by the appellant does not amount manufacture and the appellant is not liable to pay duty. - Decided in favour of appellant with consequential relief - E/53268-53269/2015 Cus[DB] - Final Order No. A/60956-60957/2016-EX(DB) - Dated:- 13-7-2016 - Mr. Ashok Jindal, Member (Judicial) and Mr. V. Padmanabhan, Member (Technical) Shri Pawan Pahwa, Advocate- for the appellant Shri G.M. Sharma, Ld. A.R. for the respondent ORDER These appeals have been filed by the appellant against impugned orders by upholding that the activity undertaken by the appellant amounts to manufacture. 2. The facts of the case are that the appellant is engaged in marketing of Hydrogen gas cylinder. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ellant is receiving Hydrogen Gas through pipeline. They compress it and fill it into cylinders at required pressure with the help of compressor run with the aid of power and it is known as compressed hydrogen gas in cylinders. The compressors installed in the premises compresses the gas at different pressure and finally at the pressure 140kg/cm for filing into cylinders each compressor is oil lubricated. In order to avoid passage of oil into gas the compressors is in built system of oil filtration. The gas received by the appellant through pipeline has some amount of moisture and in order to remove the moisture from the gas the compressor has in built system of drying the moisture. The treatment employed by the appellant is oil filtration, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the short issue before us whether the activity undertaken by the appellant rendered the product marketable to the consumer or not. 9 . The main thrust of the ld. AR is that the appellant is engaged in the activity of packing/repacking from bulk to smaller packs. In fact, that is not the case of the department as per the show cause notice. Therefore, the case laws relied upon by the ld. AR are not relevant to the facts of this case. 10 . We have also seen that in the case of Ammonia Supply Company (supra), this Tribunal held that Ammonia gas from bulk packing to smaller container will not amount to manufacturing process. Admittedly, in this case the gas from pipeline into cylinders is a similar activity and same shall not amo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... or manufacturer who process the transformer oil/lubricants for his own industrial use. In this case, the appellant had subjected the transformer oil purchased by them to the process of filtration and heating to make it suitable for their own industrial use i.e. for repair of the transformers. The process undertaken by the appellant thus, does not amount to manufacture and as such the impugned orders are not sustainable. The same are set aside. The appeals are allowed. 12. We have seen that in the case of Shivam Industries (supra) this Tribunal has observed that the adoption of any other treatment rendered the product marketable to the consumer. Admittedly, in this case the consumers are Vanaspati manufacturers who are industrial u ..... X X X X Extracts X X X X X X X X Extracts X X X X
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