TMI Blog2000 (5) TMI 62X X X X Extracts X X X X X X X X Extracts X X X X ..... ers v. C.C.E., reported in 1998 (101) E.L.T. 437, Hiten Crimpers v. C.C.E., Final Order No. 272/WZB/97, dated 22-2-1998 held that Taspa yarn is not classifiable under Heading 56.06 as 'Special yarn', the question of Law in respect of classification of Taspa yarn is referred to the Larger Bench. 2. The appellants vide communication dated 22-4-2000 made a request to decide the appeal on merits. Shri R. Swaminathan, Consultant assisted on behalf of the appellants. 3. The contention of the appellant is that the yarn in question is a man-made yarn obtained by the process cirmping and texturising of duty paid polyester yarn and nylon yarn. The yarn so obtained has slub effect. 4. The appellant relied upon the Circular No. 26/88-CX.I, dated ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ard Circular which is binding on the authorities under Customs Excise Act, and that the Revenue cannot argue contrary to the Board's Circular. 6. The contention of the Revenue is that 'Taspa yarn' is a Special yarn. Ld. DR explained the process of manufacture of Taspa yarn and submits that there is a yarn which moves at lower speed and another yarn which moves at a faster speed but deliberately create irregularity to give slub effects. He submits that the slower moving yarn can be termed as 'Core yarn' and the yarn which moves at the higher speed is the yarn which covers the slow moving yarn by producing curls and knops. Therefore, he supports the view taken in the Garden Silk Mills Ltd. v. Commissioner of Central Excise, Baroda, report ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the Revenue cannot take the stand that Circular issued by the Board is in consistence with the statutory provisions and such Circulars are binding untill fresh circular or amendment to the Circulars is issued. 8. In view of the decision of Hon'ble Supreme Court, the Revenue is bound by the Circular dated 10-10-1998, therefore, the Taspa yarn during the period in dispute, consisting of Core yarn is classifiable under Heading 56.06 of the Tariff as Special yarn and yarn which do not have a core are covered under Chapter 50 to 55 of the Tariff. The view taken by the Tribunal in the case of Pratik Crimpers v. C.C.E., reported in 1998 (101) E.L.T. 437 and in the case of Hiten Crimpers v. C.C.E., Final Order No. 272/WZB/97, dated 22-2-1998 is ..... X X X X Extracts X X X X X X X X Extracts X X X X
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