2004 (10) TMI 367 - AT - Central Excise

Summary

Issues:
- Interpretation of Small Scale Exemption Notification No. 41/94-C.E.
- Consideration of conflicting judgments by the Commissioner (Appeals).

Analysis:
1. The judgment deals with an appeal by the Revenue against an Order-in-Appeal where the Commissioner (Appeals) held that parts of Kerosene Stoves manufactured by the respondents were exempted under Small Scale Exemption Notification No. 41/94-C.E. The Tribunal reviewed the record and arguments from both sides.

2. The Commissioner (Appeals) based their decision on a precedent set by the Apex Court in the case of CCE v. Universal Electrical Industry, 2003. However, the Revenue contended that another judgment by the Apex Court in the case of CCE, Ahmedabad v. Jalaram Wood Crafts (P) Ltd., 2003, should have been considered.

3. During the proceedings, the counsel highlighted a specific paragraph from the judgment in the case of CCE, Ahmedabad v. Jalaram Wood Crafts (P) Ltd., clarifying that it was not applicable to the current case as the respondents were not producing a final product and were not availing exemption under Notification No. 217/86-CE.

4. The Tribunal, after examining the judgments in question, concluded that the judgment in the case of CCE, Ahmedabad v. Jalaram Wood Crafts (P) Ltd., did not apply to the present scenario. As the respondents were not producing a final product and not availing the specific exemption, the impugned order was deemed error-free, and the appeals of the Revenue were rejected. The decision was upheld, confirming that the parts of Kerosene Stoves manufactured by the respondents remained exempted under the Small Scale Exemption Notification No. 41/94-C.E.