TMI Blog2005 (10) TMI 119X X X X Extracts X X X X X X X X Extracts X X X X ..... aged in the manufacture of vegetable products falling under Chapter 15 of the Central Excise Tariff Act, 1985. As per the provisions of Notification No. 115/86-CE, dated 1-3-86, vegetable products falling under chapter 15 were granted exemption subject to increased use of specified minor oils, subject to fulfilment of conditions stated therein. However, the appellants did not avail the exemption under the said Notification during the period March 86 to May 86 and cleared the vegetable products on payment of duty. Thereafter, they filed a refund claim, which was sanctioned by the original adjudicating authority. 3. Subsequently, show cause notice was issued to the appellants proposing recovery of the refund granted on the ground that they ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ference to the weight of such oil and the total weight of mixture of oil. For better appreciation, we reproduce below the explanations 3 and 4 of the notifications :- 3. "The percentage of cotton seed oil or specified minor oils used in the manufacture of the vegetable product, shall be calculated with reference to the weight of such oils and the total weight of the mixture of oils immediately before such mixture is subjected to the process of hydrogenation for conversion into the said vegetable product : 4. The amount of exemption shall, at the option of the manufacture, be calculated either on the basis of individual charge or on monthly basis." 7. As is clear from the reading of the above condition of the notification, the percenta ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the oil had been so hydrogenated, expressed requirement prescribed in the notification for claiming the credit was not fulfilled and the non-compliance of this essential condition itself is sufficient to sustain the dismissal of the appellant's claim on merits. In the present case also we find that condition 3 of the notification for arriving at a percentage of cotton seeds oil or specified minor oil used immediately before hydrogenation has not been satisfied. In addition, the appellant has also not exercised the option for calculation of such exemption either on monthly basis or on new charge basis as envisaged in explanation 4 to the notification. For all these reasons, we are of the view that the appellants were not entitled to refund c ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
