TMI Blog1995 (5) TMI 26X X X X Extracts X X X X X X X X Extracts X X X X ..... led strips undergo a process of manufacture before they become cold rolled strips. We are, therefore, unable to accept the contention of the Excise Authorities that the assessees' cold rolled strips are liable to excise duty at the rate of ₹ 650/- per metric tonne. - 438 of 1989 and 3524 of 1986 - - - Dated:- 2-5-1995 - A.M. Ahemdi, C.J.I., S.P. Bharucha and K.S. Paripoornan, JJ. [Judgment per : S.P. Bharucha, J.]. - These appeals may be disposed of by a common judgment inasmuch as the Customs, Excise and Gold (Control) Appellate Tribunal allowed the appeal in the case of M/s. Steel Strips Ltd. (Civil Appeal No. 438 of 1989 before us) following its judgment in the case of M/s. Atma Steel Pvt. Ltd. (Civil Appeal No. 3524 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ated and a penalty imposed. The assessee Atma Steel appealed to the Tribunal and the Tribunal allowed the appeal. 4.The contention of the Excise Authorities is that hot rolled strips, upon which excise duty had, admittedly, been paid, underwent a process of manufacture at the hands of the assessees which resulted in the production of cold rolled strips, upon which excise duty had to be paid at the effective rate of Rs. 650/- per tonne. We find no evidence upon the record in regard to what happens to hot rolled steel strips before cold rolled steel strips are produced. 5.The lacuna is sought to be made up by learned counsel for the Excise Authorities by referring to a publication of the Indian Standards Institution and the Specification ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... kness of the material is reduced a relatively small amount - usually just enough to produce a superior surface or impart the desired mechanical properties to the rolled material." 6.It cannot be sufficiently emphasised that when it is the case of the Excise Authorities that an article is the result of a process of manufacture and it is commercially distinct and known as such, it is for the Excise Authorities to lay evidence in this behalf before the first adjudicating authority regardless of the fact that he is an officer of the Excise Department. There should, ordinarily, be no difficulty in establishing that the article is the result of a process of manufacture; in the event of difficulty, it would be open to the Excise Authorities to s ..... X X X X Extracts X X X X X X X X Extracts X X X X
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