TMI Blog2003 (7) TMI 174X X X X Extracts X X X X X X X X Extracts X X X X ..... r Chapter 40 of the CETA. They also manufacture dipped Nylon Tyre Cord warp sheets falling under 5902 of the CETA. This is an intermediate product for the manufacture of tyres. The intermediate product is exempt from payment of duty in terms of Notification No. 67/95 if used within the factory of production, for the manufacture of dutiable tyres. In respect of certain quantities of removals to the Sahaganj factory, a sister concern of the assessees-respondents, which are related mostly DEEC materials, no duty was paid by the respondents as they were under the impression that no duty was payable when such DEEC materials were used and intermediate products were manufactured and sent to their own sister factory. On realising their mistake rega ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... le 57E and not from the date of payment. (b) The Commissioner (Appeals) has not dealt with the aspect pertaining to clandestine removal and suppression of fact. 3. Shri A. Jayachandran, learned JDR reiterated the grounds of appeal and prayed for allowing the appeal by setting aside the order impugned. 4. Shri S. Murugappan, learned Counsel for the respondents submitted that in this case the assessees had paid duty even before issue of show cause notice. Further amendment to Rule 57E came into effect with effect from 1-3-97 and the said amendment was not clarificatory in nature as contended by the Department. He submitted that the lower appellate authority has passed a reasoned order and he prayed for rejection of the Revenue a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ove. We observe that in this case as noted above, the assessee had paid the amount much before issue of show cause notice and the Range officer had issued the certificate of payment of duty under Rule 57E on the date of application itself. The certificate was supposed to have been issued after due verification. The haste in which the certificate was issued and also the withdrawal of the same without following the principles of natural justice is not understandable. The Revenue has also admitted that the certificate was issued wrongly. The contention of the Revenue is that amendment to Rule 57E providing for non-issue of 57E Certificate in case of clandestine removal, though came into effect on 1-3-97, has retrospective effect. This plea can ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
