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TMI Blog2024 (12) TMI 2X X X X Extracts X X X X X X X X Extracts X X X X ..... arred by limitation 1 E/762/2011 07.04.2010 April 2009 to July 2009 OIO No. 02/2011 dated 07.01.2011 Rs. 1,52,83,885/- - - 2 E/938/2012 25.01.2011 January 2010 to November 2010 OIA No. 115/2012 dated 01.03.2012 Rs. 13,93,772/- Rs. 13,39,772/- - 3 E/939/2012 10.03.2010 March 2008 to May 2009 OIA No. 115/2012 dated 01.03.2012 Rs. 16,74,205/- Rs. 16,74,205/- March 2008 to February 2009 4 E/940/2012 25.06.2010 June 2009 to December 2009 OIA No. 115/2012 dated 01.03.2012 Rs. 10,62,350/- Rs. 5,00,000/- - 5 E/3301/2012 27.08.2010 August 2009 to April 2010 OIA No. 504/2012 dated 03.10.2012 Rs. 28,39,876/- - - 6 E/3302/2012 30.12.2011 December 2010 to October 2011 OIA No.501/2012 dated 03.10.2012 Rs.24,58,484/- Rs.1,00,000/- 7 E/26475/2013 03.04.2012 March 2011 to December 2011 OIO No.06/2013 dated 28.02.2013 Rs.5,15,19,634/- Rs.60,00,000/- - 8 E/23319/2014 30.01.2014 March 2013 to August 2013 OIO No. BEL/EXCUS/000/COM/B. HR/008/2014 (CX) dt. 11.08.2014 Rs.2,25,94,848/- - - 9 E/23320/2014 18.10.2012 November 2011 to July 2012 OIA No. M ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... al Excise Valuation (Determination of Price of Excisable Goods) Rules, 2000, since the quantity of cement on which differential duty has been proposed to be demanded, was not sold by the appellant, but was stock transferred to their own sister unit for captive consumption in the manufacture of cement. Further, in terms of Section 4 of Central Excise Act, 1944 the assessable value of goods has to be determined in respect of each of the clearances and not on the basis of the conceptual value of the goods sold in another transaction. In support, they have placed reliance on the Board's Circular dated 30.06.2000 and Circular dated 01.07.2002. Further, it is submitted that though order has been passed by the Tribunal in appellant's own case in Final Order No.21426/2023 observing that Rule 4 of the Central Excise Valuation (Determination of Price of Excisable Goods) Rules, 2000 be applicable, however, the said order has been challenged before the Hon'ble Supreme Court being Civil Appeal No.14433/2024. They have submitted that in the said Final Order, the Tribunal has not considered the fact that no comparable price was available during the relevant period and hence, valuation could not h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of Price of Excisable Goods) Rules, 2000 and the differential duty payable is admissible to their sister unit as credit hence, imposition of penalty also not sustainable. 4. The learned Authorized Representative for the Revenue reiterated the findings of the learned Commissioner. 5. Heard both sides and perused the records. 6. The short issue involved in the present appeals for consideration is, during the period in question i.e., from April 2004 to December 2012, the clinkers transferred by the appellant to their sister concern to be valued under Rule 4 or Rule 8 of the Central Excise Valuation (Determination of Price of Excisable Goods) Rules, 2000. This Tribunal in appellant's own case for their own unit for the period from March 2011 to November 2013 held that Rule 4 read with Rule 11 of the Central Excise Valuation (Determination of Price of Excisable Goods) Rules, 2000 be adopted following the judgment of the Larger Bench of the Tribunal in the case of Ispat Industries case (supra). This Tribunal vide Final Order No.21426/2023 dated 22.12.2013 observed as: "7. Heard both sides and perused the records. The present dispute relates to determination of assessable value of cl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sible interpretations of a rule, one which subserves the object of a provision in the parent statute and the other which does not, we have to adopt the former, because adopting the latter will make the rule ultra vires the Act. 27.................. 36. In our opinion, the Gunapradhan principle is fully applicable to the interpretation of Rule 9(2). Rule 9(2) is subservient to Section 14. We must, therefore, interpret it in such a way as to make it in accordance with the main object that is contained in Section 14 of the Customs Act. It may be that in isolation Rule 9(2) conveys some other meaning, but when it is read along with Section 14 of the Act, it must be given a meaning which is in accordance with the object of Section 14. The object of Section 14 is 'primary' whereas the conditions in Rule 9 (2) are the 'accessories'. The 'accessory' must, therefore, serve the 'primary'." 9. In view of what we have observed above, we answer the reference in the following terms: (a) the provisions of Rule 8 of the Valuation Rules will not apply in a case where some part of the production is cleared to independent buyers; (b) the provisions of Rule 4 are in any case to be preferred ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ct clear intention on the part of the appellant to remove the goods by paying lesser duty. 9. We have ourselves indicated that the two types of goods were different in nature. The question is about the intention, namely, whether it was done with bona fide belief or there was some mala fide intentions in doing so. It is here we agree with the contention of the learned Senior Counsel for the appellant, in the circumstances which are explained by him and recorded above. It is stated at the cost of repetition that when the entire exercise was revenue neutral, the appellant could not have achieved any purpose to evade the duty." Their Lordships in the facts of said case observing revenue neutrality as a factor to analyze and appreciate the intention of the parties for non-adherence to the correct method of valuation and held that there could not be any mala fide intention to be attributed in the said case. 8. We find that this Tribunal for the earlier period while applying the principle of valuation under Rule 4 of Central Excise Valuation (Determination of Price of Excisable Goods) Rules, 2000 to the circumstances of the case has set aside the demand for the extended period of limi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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