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TMI Blog2023 (8) TMI 404X X X X Extracts X X X X X X X X Extracts X X X X ..... pellant or under 27139000 as contended by the department. 2. The facts of the case in brief are that the Appellant imported 32 containers of Crude Mineral Oil (CMO) falling under sub-heading No. 27090000 for manufacture of Light Diluted Oil (LDO) on mixing with indigenous product purchased from local market. LMO were cleared on payment of appropriate duty by classifying the same under the Tariff Sub-heading No. 2710.99 and CMO Residue was cleared on payment of 'Nil" rate of duty by classifying it under the Tariff Sub heading No. 27090000. 3. The Appellant was issued with a Show Cause Notice dated 30.12.2009 demanding duty of Rs, 3,69,020/- along with interest and penalty, on the CMO Residue cleared during the period 01.02.2009 to 31.10.20 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the goods cannot be determined on the basis of the Test Report. (ii) They filed monthly RT-12 /ER-1 Return disclosing all the facts which never disputed by the department and accepted the classification of CMO Residue as goods falling under sub-heading No. 27090000. (iii) They cited the decision of the Tribunal in the case of BSM Petrochem Pvt. Ltd., reported in 2017(6) GSTL 480 (Tri.-All.) wherein it has held that the waste Crude Oil is classifiable under 27090000. The same vie has been taken by the Tribunal vide Final Order No.A/70552/2017-EX(DB) dated 05.06.2017, in the case of Bajrang Petrochemicals Pvt.Ltd. 5. The Ld. A.R stated that the Test Report clearly indicated that the CMO Residue is not classifiable under the Chapter he ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... under: Petroleum oils and oils obtained from bituminous minerals, crude. (ii) Tariff sub heading 27139000 reads as under; Other residues of petroleum oils obtained from bituminous minerals. 10. We observe that Sub Heading 27139000 is a residual entry covering 'other residue of petroleum oils or oils obtained from bituminous minerals', Whereas 270900 is a specific entry which covers 'petroleum oils obtained from mineral oils' as well as from 'crude oil'. It is on record that CMO residue is obtained as remnant on distillation of crude oil, which is specifically mentioned in the subheading 270900 and not under 27139000. As per General Rules of Interpretation of the Tariff, a specific heading must be always preferred over ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ellants. Further, Shri Mahesh Shukla, Authorized Signatory was also proposed with penalty under Rule 26 of Central Excise Rules, 2002. On contest the show Cause Notice was adjudicated through Order-in-Original dated 30.11.2009 wherein the original authority had decided classification of 'Residual Crude Petroleum Oil' also called as 'Reduced Crude Petroleum Oil' under Tariff Item No. 27139000 and confirmed the demand and imposed equal penalty on the appellant. Aggrieved by the said order, appellant preferred appeal before this Tribunal. 3. Learned Counsel for the appellant submitted that the very issue in respect of very manufacturer was decided by this Tribunal in Appeal No. E/1574/2010 EX(DB) through Final Order No. 70552/2017 dated 05. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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