TMI Blog1996 (5) TMI 91X X X X Extracts X X X X X X X X Extracts X X X X ..... of the Central Excise and Salt Act, 1944 by the Central Board of Excise and Customs. The learned Counsel have contended that common questions arise in all the cases, though in some cases the Circular has been impugned and in other cases the issuance of show cause as well as the consequent orders have been challenged. The petitions are, therefore, disposed of by this judgment. 2.The facts of Writ Petition No. 3903/95 (M/s. Kissan Chemicals v. Union of India and Others) may be noticed. 3.The petitioner is a Unit of M/s. Montari Industries Ltd. having its works at 41, Industrial Area, Phase-II, Chandigarh and is engaged in the formulation of pesticides. The petitioners submit that the process employed in the manufacture of formulating pes ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... it is recognised as a new and distinct article that a manufacture can be said to have been taken place. Paragraph 7 of the judgment of the Tribunal reads as follows :- "It is seen that the processing of the concentrated basic pesticidal chemicals in question carried out by the respondents through addition of inert carriers/solvents and dispersing and stabilising agents resulted only in their dilution rendering them suitable for use either directly or after addition of water and formulations retained the name of the basic chemicals. Evidently no new product having distinctive name, character and use appeared as a result of such processing. Under these circumstances on the ratio of the decisions quoted above, we hold that the processes carr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... follows :- "2. The Hon'ble Tribunal, while stating the accepted principle that for `manufacture' to take place a new product having a distinctive name, character and use must emerge, have held that addition of inert carriers/solvents and dispersing and stabilising agents resulted only in their dilution rendering them suitable for use either directly or after addition of water and formulations retained the name of the basic chemicals, evidently no new product having distinctive name, character and use appeared as a result of such processing. 3. The matter has been carefully considered by the Central Board of Excise and Customs (hereinafter referred to as the `Board'). The above-mentioned judgment of the Hon'ble Tribunal had not been acce ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rred me to the Division Bench judgment of the Bombay High Court in Special Civil Application Nos. 9034, 8580, 8730, 9035 and 9036 of 1995 decided on 15th April, 1996 where similar challenge to the same circular was made. The learned Judges after reproducing the provisions of Section 37B of the Act came to the following conclusion : "This Section empowers the Board to issue circular for the purpose of uniformity in the classification of excisable goods or with respect to levy of duties of excise on such goods. Certainly, this Section does not authorise the Board to issue directions which is contrary to the decision rendered by the Tribunal. Mr. Ajmera, learned Advocate could not point out anything which would suggest that the Board has su ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ult for the Court to render justice in time. 4. The Government, therefore, have decided that filing of appeal may be considered only where substantial questions of law are involved and there is no direct ruling or case law of the Supreme Court on the issue. 5. Further, no appeal to the Supreme Court may be filed where such duty involved is Rs. 5 lakhs or less." 7.The above considerations cannot be held to be relevant to reverse the decision of the Tribunal which has been rendered on cogent grounds. The decision of the Tribunal having become final, the only option left with the Department was to take the matter in appeal and impugn that decision. The issuance of circular by the Board in the present facts cannot be held to be an appropr ..... X X X X Extracts X X X X X X X X Extracts X X X X
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