TMI Blog2018 (4) TMI 99X X X X Extracts X X X X X X X X Extracts X X X X ..... d the present appeal. We have heard Shri Mohd. Altaf appearing for the Revenue and Shri Anuj Agarwal, Id. Advocate appearing for the respondent. 2. As per facts on record the respondent is engaged in the manufacture of oil. Revenue by entertaining a view that the oil being cleared by the appellant is a refined vegetable oil, manufactured by them under the brand name 'super distilled' ROO/SDVO/DVO, initiated enquiry against them and recorded the statements of various persons who stated that they adopt the process of neutralisation, bleaching and deodorization, Revenue entertained a view that the respondent's final product is refined vegetable oil inasmuch as all the processes laid down under the Prevention of Food Adulteration Act, 1954 stands adopted by them. Further, enquiries were also made from the dealers/ persons dealing in edible and non-edible oil. 3. On the above basis of the result of the investigations made by the Revenue, proceedings were initiated against them by way of a Show Cause Notice dated 15,] 1.2006, raising a demand of duty of ₹ 18,27,998.00 along with proposal to confirm the interest and impose/ penalties. The said show cause notice cul ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ression of solvent extraction of vegetable oil bearing minerals, deacidified with alkali and / or physical refining and / or by miscella refining using permitted food grade solvent followed by bleaching with absorbent earth and / or carbon deodorized with stream. No other chemical agent shall be used. The name if the vegetable oil from which the refined oil has been manufactured shall be clearly specified on the label of the container. In addition to the under-mentioned standards to which refined vegetable oils shall conform to the standards prescribed in these rules for the specified edible oils shall also except for acid value which shall be not more than 0.5 percent. Moisture shall not exceed 0.10 percent by weight. 9. From the above definition of the 'Refined Vegetable Oils', it is abundantly clear that apart from other specified standards, the acid value shall not be more than 0.55 by weight. However, while going through the finding of the adjudicating authority, I not find mentioned of specified acid value of 0.5% by weight, even though he has observed that the (Refined Edible Oils' should meet the specified standards of the Prevention of Food Adulteration Ac ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 05, Sri Ahuja has stated that he visited the plant of M/S Jhoola Refinery, situated at Village Naupur P.O. Thanagaddi Jaunpur on 13.10.2005 and studies manufacturing process. According to him, For distillation of oil it is necessary to process the oil by degumming, Bleaching, dewaxing process. But is necessary to maintain the temperature above 200 degree centigrade for separation of Fatty from oil but there are no equipments installed to have the temperature of 200 degree centigrade as such the fatty cannot be removed from oil. 13. As such it is confirmed that M/S Jhoola Refineries Ltd., Sarnath Varanasi cannot manufacture the refined oil, This technical opinion has been discussed by the adjudicating authority but has held the same irrelevant and also not based on facts.)' He has further stated, Sri S.K. Ahuja vide his letter dated 26.02.2008 had requested to ignore and not to take cognizance of his aforesaid report . However, in the impugned order it is no where mentioned that Sri Ahuja has ever retracted or disowned his opinion / statement dated 19.11.2005. Besides, I also do not find any inspection reports of the Departmental Officers to the effect that the appellan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f CCE Mumbai-Ill v/ s. Reliance Silicones Ltd. [2004 (174) ELT 3 (SC)], the Hon'ble Supreme Court while holding the CEGAT order has held, nnere statements obtained from some dealers in the market cannot prevail over these test reports. In fact one of the dealer during his cross examination has admitted that he was purchasing distilled oil from the Appellant. In the case of Forbes Gokak Ltd. vs. ccE, Belgaum [2005 (192) ELT - 1000 (T rib.) l, the Hon'ble CES TAT, while relying upon the ratio of law laid down by the Hon'ble Supreme Court in the Reliance Silicones Ltd, supra, has held, U wherein the Apex Court has held that when test results are available, they are best evidence as against market enquires. The CES TAT in the above case has also relied upon the decision in the case of Polyglass Acrylic Manufacturing Co. Ltd. v/s. ccE [2003 (153) ELT - 276 (SC)] which lays down that reports obtained by departnnent itself has greater force and it should not be ignored. The distilled oil is manufactured by the appellant from imported oil and this fact is not disputed by the department. The test report of Imported Oil clearly suggested that Edible Oil cannot be manufactur ..... X X X X Extracts X X X X X X X X Extracts X X X X
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