TMI Blog1995 (3) TMI 121X X X X Extracts X X X X X X X X Extracts X X X X ..... s came into existence by the treatment of cotton and nylon yarn into a multifold yarn. We allow these appeals, set aside the order of the excise authorities as well as the Tribunal and hold that the item multifold yarn for want of evidence, in regard to which we had made a mention has not been shown to be liable to excise duty under the relevant Tariff Entry. It will be for the excise authorities to decide after notice to the appellants whether the excise duty already paid is liable to be refunded in view of Section 11B of the Act. - 2610-2612 of 1984 - - - Dated:- 21-3-1995 - A.M. Ahmadi, CJI, S.P. Bharucha and K.S. Paripoornan, JJ. [Order]. - These appeals relate to the period from 1-3-1971 to 31-10-1976. The short question ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e multifold yarn was prepared for weaving felts which was monopoly product. The Tribunal relying on the aforesaid decision concluded that notwithstanding the fact that the intermediary product did not have a market, it was all the same `goods' which had a distinct identity and was, therefore, liable to excise duty under the aforesaid Tariff Entries. Since the intermediary product was neither cotton yarn or nylon yarn but a mixed one. The Tribunal held that it was a distinct commodity having two constituents cotton and nylon and was, therefore, attracted by the aforesaid Tariff Entries. In support reliance was also placed on its previous decision in Aditya Mills Ltd. v. Collector - 1983 (14) E.L.T. 1853. 2. Having heard Counsel on the issu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... no satisfactory material laid to the contrary the Court held on facts that the aluminium cans did not attract excise duty. In the present case also, we find that except indicating the process of preparing multifold yarn needed for the manufacture of felts the Revenue had not placed any material on record to hold that the multifold was a distinct article having an identity of its own in the commercial world nor was any evidence led to show that it had marketability, however, limited it may be. Admittedly, even according to the Revenue the manufacture of felts was a monopoly items and the process of manufacture was to use cotton and nylon strands folded together and thereafter process the multifold yarn in the manufacture of felts. Every chan ..... X X X X Extracts X X X X X X X X Extracts X X X X
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