TaxTMI 
TaxTMI 
2017 (5) TMI 1444
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....hat they did not file declaration under Rule 173-B of said Rules in respect of untrimmed sheets, circles of Copper and Brass since the untrimmed sheets and circles are distinguished excisable goods which are further used for manufacture of trimmed sheets and circles and that untrimmed sheets and circles are covered by Tariff Heading No.74.09 of schedule to Central Excise Tariff Act, 1985 and were attracting tariff rate of 15% as the rate of duty. There was a proposal of demand of Central Excise duty of Rs. 8,16,551/- on untrimmed sheets and circles of copper and brass used during the month of January, 1996 under Section 11A of Central Excise Act, 1944. There was another proposal of demand of duty of Rs. 1,05,459/- on untrimmed sheets and circles without claiming exemption under Notification No. 67/95 dated 16.03.1995. Six such identical show cause notices were issued. A show cause notice for the period covering February, 96 and March 96 was dated 03.09.1996 where demand on first issue was Rs. 14,24,096/- as second issue was Rs. 2,54,716/-. For the period April, 96 to May, 96, a show cause notice dated 01.11.1996 was issued where demand on first issue was Rs. 19,41,094/- and second ....
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....ly the said Notification was admissible to CBL in respect of goods which were capitivelly consumed. Further, he has denied the benefit of Notification No.1/93-CE to CBL. Ultimately the original authority had confirmed the demand of Rs. 81,02,312/- under Section 11A of Central Excise Act, 1944. Further, as held by the original authority at page 07, he has allowed the benefit of Notification No.67/95-CE dated 16.03.1995 to CBL and held that no duty was leviable on untrimmed sheets and circles going into manufacture of dutiable trimmed sheets of copper and brass, he confirmed demand of duty of untrimmed sheets and circles of copper and brass which were going into manufacture of trimmed sheets and circles of copper and brass which were exempted in view of Notification No.42/94-CE dated 01.03.1994 i.e. the Notification where goods were exempted if used in the manufacture of Utensils and Handicrafts. So out of the demand of Rs. 1,75,78,742/-, the original authority confirmed the demand of Rs. 81,02,312/- which was pertaining to demand on untrimmed sheets and circles of copper and brass used in the manufacture of trimmed circles and sheets used for further manufacture of utensils and hand....
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....nufacture of Utensils and Handicrafts for the period from 01.01.1996 to 02.07.1996 and @ Rs. 2500/- per MT during the period from 23.07.1996 to 31.12.1996 and further held that CBL was required to pay Central Excise Duty of Rs. 12,52,151/- in respect of all the goods covered by all the above stated 6 show cause notices put together. The said Order-in-Appeal dated 29.08.2002 was challenged by both CBL and revenue. The appeal preferred by CBL was decided through Final Order No.60/03-B dated 22.01.2003. This Tribunal through the said Final Order has held that it was not going in the issue of none marketability of untrimmed circles and remanded the matter back to the adjudicating authority who had decided the issue of granting exemption under Notification No. 1/93-CE as claimed by CBL. The appeal preferred by revenue was decided through the final Order No.210-211/02-B dated 25.03.2003 wherein this Tribunal has held that the matter has already been remanded to the original authority and original authority was further directed to examine the question regarding admissibility of Notification No.134/94-CE and Notification No.8/96-CE dated 23.07.1996. 3. In the mean time t....
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....No. 134/94-CE and 8/96-CE and therefore the benefit of the above stated two Notifications were not admissible to CBL. He, further held that Notification No. 67/95-CE dated 16.03.95 was amended vide Notification No.31/2001-CE dated 01.06.2001 which clarified that the exemption was also available to the goods which were consumed within the factory production for manufactured of dutiable and exempted final products provided such manufacturer discharges the obligation prescribed in Rule 6 of Cenvat Credit Rules, 2004 and since CBL had not discharged any such obligation at any stage, therefore, CBL was not entitled for the benefit of Notification No.67/95-CE at the stage of untrimmed sheets and circles and ultimately confirmed the demand raised in 06+09 show cause notices i.e. Rs. 1,75,78,342/- and Rs. 3,71,87,614/- and imposed penalty of Rs. 5,47,65,956/- under Rule 173-Q of Central Excise Rules, 1944 and Rule 25 of Central Excise Rules, 2002. He imposed personal penalty of Rs. 25 Lakhs on Shri I.S. Chadha under Rule 26 of Central Excise Rules, 2002. Aggrieved by the said Order-in-Original both appellants have filed appeal before this Tribunal. 5. The grounds of appe....
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....ory Vs Commissioner of Central Excise, reported at 2006 (197) ELT 465 (SC). He has further relied on the ruling of Hon'ble Supreme Court in the case of Commissioner of Central Excise, Jaipur Vs Mewar Bartan Nirman Udyog reported at 2008 (231) ELT 27 (SC). He has submitted that Honble Supreme Court has clarified the provisions of law in respect of exemption of goods such as trimmed and untrimmed sheets and circles of copper and brass as provided in Notification No.3/2001-CE dated 01.03.2001. He further contended that the Hon'ble Supreme Court through the said ruling has clarified that copper and brass are two different identifiable commodities and it has been provided in said notification that trimmed and untrimmed sheets and circles of metal other than copper are fully exempted through the said Notification No.139/2001-CE dated 01.03.2001 and that trimmed or untrimmed sheets and circles of copper are attracting duty of Rs. 3500/-per MT provided that Cenvat credit is not availed by them. He has further submitted that over the period through the various Notifications which paramateria are the same, such provisions existed for assessment of Central Excise Duty on trimmed and untrimme....