TMI Blog2000 (11) TMI 236X X X X Extracts X X X X X X X X Extracts X X X X ..... ause notice culminated into the Order passed by the Assistant Commissioner dated 31-1-1994, wherein he accepted the appellants' contention and held that TLCs are correctly classifiable under sub-heading 8454.00. The above Order of the Assistant Commissioner was appealed against by the Revenue before the Commissioner (Appeals) who after making the some observations, remanded the matter to the Assistant Commissioner. It is this decision of the Commissioner (Appeals) which is impugned before us. Shri S.K. Bagaria, learned Advocate has appeared for the appellants and supported the Order passed by the Assistant Commissioner. According to him, the said Order of the Assistant Commissioner clearly shows that TLCs are nothing else but Ladles which a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... an undisputed fact on record that TLCs are Ladles, performs the function of Ladles and have got the essential character of Ladles and the same do not at all function as railway goods van or wagon. There was no material before the Commissioner (Appeals) to set aside the Order of the Assistant Commissioner. 2.Elaborating on his arguments, Shri Bagaria submits that the Integrated Steel Plants require Ladles to receive molten metal from the Blast Furnace in red hot condition at a very high temperature of about 1400 Degree Centigrade and to carry and pour the same into open type Ladles to feed into the converters or mixers. One of the very important and basic requirement of Ladles is to retain the heat of molten metal poured therein from the B ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d the Steel Melting Shop inside the Steel Plant. Since TLC is carrying huge quantity of molten metal, heavy wheel load will not permit it to move on surface of the earth as such, without surface breaking away and thereby leading to overturning of the TLCs which may result in huge loss of life and property. To avoid the possibility of such accidents, the weight is spread by using rails and TLCs fitted with wheels are made to move between the Blast Furnace and the Steel Melting Shop inside the Steel Plants on the rails. Normal rails used on the Railways tracks cannot take or bear the weight of TLCs filled with molten metal. Accordingly, for movement of TLCs specially designed rails able to withstand the pressure and weight of TLCs are laid be ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rned Advocate to the Explanatory Notes given in the Harmonized Commodity Description and Coding System, in support of his claim of classification of TLCs under sub-heading 8454.00. 6.Shri J.M. Kennedy, learned J.D.R. for the Revenue has appeared before us on behalf of the Revenue and reitereated the reasoning of the Commissioner (Appeals') Order. 7.After hearing both sides, we find that the disputed entries in respect of TLCs are as under :- "Sub-heading No. 8454.00 Converters, ladles, ingot moulds and casting machines, of a kind used in metallurgy or in metal foundries. Sub-heading No. 8606.00 Railway or tramway goods vans and wagons, not self-propelled." The Assistant Commissioner, after taking int ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... articular ladle as well as to suit the profile of the wheels of locomotives for hauling up of the ladle car. The fitting mechanism is provided and mounted on the under-carriage of the ladle. The write-up specifically indicates that the ladle is mounted on the under-frames and the rails on which these TLCs are designed to move are dimensionally compatible with locomotive in use in India. As per 'General' section notes of Section XVII, machines or equipments, particularly of the type falling in Section XVI, when mounted on the vehicle chassis of Section XVII, the classification of the resultant mobile machine depends on various factors, in particular on the type of base. So, for the purpose of proper classification of the impugned goods, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... heading also covers foundry type casting ladles manipulated by small hand ladles of the type used by tinsmiths, goldsmiths, etc., are excluded (heading 73.25 or 73.26)." Similarly, in the Explanatory Notes below Section XVI in HSN, the following position has been clarified :- "The bases, frames or housings may be provided with wheels so that the composite machine can be moved about as required during use, provided it does not thereby acquire the character of an article (e.g. a vehicle) more specifically covered by a particular heading of the Nomenclature." Thus it becomes clear from the foregoing that providing of under-frame to the Ladles cannot come in any way of their being classified under Heading 84.54. 8.On the contrary, we f ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
