TMI Blog2016 (11) TMI 869X X X X Extracts X X X X X X X X Extracts X X X X ..... hings are clarified, therefore, in our view, there is no error committed by the authority or Tribunal. No substantial question of law arises for consideration by this Court - appeal dismissed - DB Excise Appeal No. 20/2015 - - - Dated:- 16-11-2016 - K. S. Jhaveri And Mahendra Maheshwari, JJ. Mr. Anuroop Singhi for the appellant Mr. P.K. Kasliwal for the respondent ORDER By The Court 1. By way of this appeal, the Department has challenged the order passed by the Customs, Excise and Service Tax Appellate Tribunal, New Delhi, whereby the appeal preferred by the Department was dismissed and the order passed by the Commissioner (Appeals) was confirmed. 2. Counsel for the appellant Mr. Singhi contended that in view of the well settled provisions of law, the circular dated 28.08.1995 was already interpreted by the Punjab Haryana High Court at Chandigarh in the case of Dee Development Engineers Ltd. Vs. Union of India (UOI) and Ors.- 2010 (254) ELT 412 (P H) and particularly paragraphs 16 and 18, which reads as under: 16. The argument of learned Counsel for the assessee that since M/s Thermax Babcock Wilcox Limited, Pune had awarded as purchase order t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... view of the preliminary objections and the reply filed by him, the appeal deserves to be dismissed. 4. We make it clear that we have heard learned counsel for the parties on merits only and not on preliminary objections and we are deciding the case only on merits. 5. The notification dated 28.08.1995, as pointed out by Mr. Singhi, reads as under: In exercise of the powers conferred by subsection (1) of section 5A of the Central Excises and Salt Act, 1944 (1 of 1944), read with sub-section (3) of section 3 of the Additional Duties of Excise (Goods of Special Importance) Act, 1957 (58 of 1957), the Central Government, being satisfied that it is necessary in the public interest so to do, hereby exempts all goods falling under the Schedule to the Central Excise Tariff Act, 1985 (5 of 1986) (hereinafter referred to as the said goods) when supplied to the United Nations or an international organization for their official use or supplied to the projects financed by the said United Nations or an international organization and approved by the Government of India, from the whole of - (i) the duty of excise leviable thereon under section 3 of the Central Excise Act, 1944 (1 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... a State or a Union Territory, a certificate from-the executive head of the Project Implementing Authority and countersigned by the Principal Secretary or the Secretary (Finance), as the case may be, in the concerned State Government or the Union Territory, that the said goods are required for the execution of the said project, and that the said project has duly been approved by the Government of India for implementation by the concerned State Government. Explanation. - For the purposes of this notification,- (a) international organization means an international organization to which the Central Government has declared, in pursuance of section 3 of the United Nations (Privileges and Immunities) Act, 1947 (46 of 1947), that the provisions of the Schedule to the said Act shall apply; (b) Line Ministry means a Ministry in the Government of India, which has been so nominated with respect to a project, by the Government of India, in the Ministry of Finance (Department of Economic Affairs). ANNEXURE 1. United Nations Development Programme, 2. United Nations International Children's Fund, 3. Food and Agricultural Organisation, 4. Inter ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 5-CE dated 28.08.1995 reads as follows:- In exercise of the powers conferred by subsection (1) of Section 5A of the Central Excises and Salt Act, 1944, (1 of 1944) read with subsection (3) of Section 3 of the Additional Duties of Excise (Goods of Special Importance) Act, 1957 (58 of 1957), the Central Government, being satisfied that it is necessary in the public interest so to do, hereby exempts all goods falling under the Schedule to the Central Excise Tariff Act, 1985 (5 of 1986) (hereinafter referred to as the said goods) when supplied to the United Nations or an International organisation for their official use or supplied to the projects financed by the said United National or an international organisation and approved by the Government of India, from the whole of:- (i) the duty of excise leviable thereon under section 3 of the Central Excises and Salt Act, 1944 (1 of 1944) ; and (ii) the additional duty of excise leviable thereon under sub-section (1) of section 3 of the Additional Duties of Excise (Goods of Special Importance) Act, 1957 (58 of 1957) : Thus with all the conditions satisfied, the beneficial Notification applies to the case on hand. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he supply made to the Organization indicated in the Notification for their official use as well as supply made to the projects financed by them, are both included within the purview of the Notification. It may be open, to the Department to contend, in some cases where the supply is made for the official use of International Organization that such supply should have been made directly. We are not saying this as an interpretation to the Notification, but we are indicating that at least if a case falls within the first limb, there is some possibility for the Department to take such a contention. 7. We have heard learned counsel for both the parties. 8. Taking into account the reasoning adopted by the Commissioner (Appeals), particularly, at page 46 wherein it has relied various decisions of Supreme court which reads as under: (b) In the case of Commissioner of Customs, Kolkata V/s Rupa and Co. Ltd reported in 2004(170) ELT 129 (S.C.) Hon'ble Apex Court has observed that An exemption Notification has to be constrained strictly but that does not mean that the object and purpose of the Notification is to be lost sight of and the wording used therein ignored. Where wordin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... also find that the Adjudicating Authority has erred in importing additional conditions which were not present in the Notification. 11. I also find that, the Appellant has submitted a certificate from executive head of the Project implementing Authority and countersigned by Principal Secretary or the Secretary (Finance) in the concerned State Govt., that the said goods are required for the execution of the said project. This is not a case where the goods have not been supplied to the specified project or diverted. There is no allegation on the Appellant about non supply of the goods for the specified project. Thus, I find that, the appellant has submitted a clarified later on by their letter dated 2.5.2005, and they supplied the goods to the specified projects, which has not been denied, therefore, the benefit of Notification No.108/95 C.E. dated 28.8.95 is admissible. 10. The Tribunal, has in para 5, has observed as under: 5. We have considered the submissions from both the sides and perused the records. The Respondent had supplied mild steel CTD bars for use in certain Projects financed by Asian Development Bank and being implemented by Rajasthan Urban Infrastruct ..... X X X X Extracts X X X X X X X X Extracts X X X X
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