2007 (8) TMI 710 - SCH - Central Excise

Validity of SCN - SSI Exemption - clubbing of clearances - dummy units - Held that - the show cause notice given by the Department itself proceeds on the basis that the factory of the assessee consisted of different units (plants); that it was one single factory consisting of separate units; that sugar and molasses came under one of the units, paper and paper board came in the other unit and that chemicals came in the third unit. In the circumstances, the assessee-respondent was entitled to the benefit of exemption notification - It is not even alleged in the show cause notice that there are three factories as submitted on behalf of the Department - appeal dismissed.

Summary

The Supreme Court dismissed the civil appeal filed by the Department regarding a factory consisting of different units. The show cause notice proceeded on the basis that it was one single factory with separate units, entitling the assessee to exemption notification. The appeal was dismissed with no order as to costs.