2005 (8) TMI 669 - AT - Central Excise

Summary

Issues: Eligibility for exemption under Notification No. 6/2002.

Analysis:
The Appellate Tribunal CESTAT MUMBAI, comprising Ms. Jyoti Balasundaram, Vice-President, and Shri S.S. Sekhon, Member (T), heard applications for waiver of pre-deposit of duty and penalty. The Tribunal found that the issue in dispute regarding eligibility for exemption under Notification No. 6/2002 was covered by earlier Tribunal orders. Referring to the case of Precot Mills v. Commissioner of Central Excise, it was established that dyed yarn manufactured from doubled yarn, which was made from single yarn on which duty was paid, was eligible for partial exemption under the notification. Similarly, in the case of Morarjee Gokuldas Spg. & Wvg. Co. Ltd., the Tribunal held that a composite mill was entitled to exemption under a similar notification. Applying the principles from these cases, the Tribunal concluded that the benefit of exemption under Notification No. 6/2002 was applicable to the appellants, thereby setting aside the impugned orders and allowing the appeals.