TMI Blog2009 (3) TMI 176X X X X Extracts X X X X X X X X Extracts X X X X ..... penalty, is accordingly set aside on this ground alone, without going into the merits of the case - E/456-457/2008 - A/753-754/2009-WZB/AHD - Dated:- 19-3-2009 - Ms. Archana Wadhwa, Member (J) and Shri B.S.V. Murthy, Member (T) REPRESENTED BY : Shri Devan Parikh, Advocate, for the Appellant. Shri D.S. Negi, SDR, for the Respondent. [Order per : Archana Wadhwa, Member (J)]. - The appellants are engaged in the manufacture of drill rods which is an accessory/tool for mining machinery. Such drill rods consist of two major parts viz. Connectors and Steel Pipes. Both these parts are not independently usable/functional nor are they sold separately. The product, drill rod is manufactured as per the specific design, dimensions and d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd steel pipes have no independent use or function other than being the part of the drill rod. They are also not separately known in the market for any given functions. Further, it is an admitted fact that neither of these two components is sold separately and that the tenders, purchase orders and sales invoices of drill rods also carry the said name in its complete assembled form. The product is also transported in its completely assembled form as it cannot even be dismantled once its manufacturing process is over. 4. With regards to its use, the drill rods are fitted on the mining machinery to hold the bit, which is boring the earth. While the bit is boring the earth downwards, the drill rod holds them and as the bit goes down, the dril ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ting does not constitute manufacture. Learned Commissioner has not followed the said decision on the ground that the appellants are not only carrying out the above activities but are also doing something more. However, he has not referred to any additional activities being undertaken by the appellant so as to distinguish the decision. 7. We intend to dispose the appeal on limitation. Admittedly the show cause notice stands issued after the normal period of limitation. The appellant's contention is that in view of the above judgment of the Hon'ble Tribunal, they were under bona fide belief that such an activity does not amount to manufacture. They have also submitted that another unit located in near vicinity of the appellant and manufactu ..... X X X X Extracts X X X X X X X X Extracts X X X X
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