2011 (3) TMI 770 - AT - Central Excise

Application of stay - Classification - in the case of M/s. Mahavir Food Products v. CCE, Vadodara as reported in (2007 -TMI - 1202 - CESTAT, AHMEDABAD). It stand held that the correct classification of the Makai Poha is under Heading 1101 - Appeal is allowed

Summary

Issues:
1. Correct classification of the product "Makai Poha" under Heading 1904.10 or Heading 1101.

Analysis:
The judgment by the Appellate Tribunal CESTAT, Ahmedabad involved a dispute regarding the classification of the product "Makai Poha." The Revenue had classified it under Heading 1904.10, while the appellant contended that it should be classified under Heading 1101. The Tribunal referred to a Larger Bench decision in the case of M/s. Mahavir Food Products v. CCE, Vadodara, which had already settled the issue by holding that the correct classification of Makai Poha is under Heading 1101. This decision was binding on the Tribunal.

The Respondent, through the Learned SDR, pointed out another decision of the Honorable Supreme Court in the case of CCE, Pune v. M/s. Frito Lay India. However, upon examination, it was found that the product involved in that case was different ("Cheetos Masala Balls") from the one under dispute in the present appeal (Makai Poha). The Tribunal emphasized that once a Larger Bench decision is available, Division Benches should follow it. Therefore, the Tribunal upheld the decision of the Larger Bench and set aside the impugned order, allowing the appellant's appeal after granting the stay petition.

In conclusion, the Tribunal disposed of the stay petition and the appeal in favor of the appellant, based on the precedent set by the Larger Bench decision regarding the classification of Makai Poha under Heading 1101. The judgment reaffirmed the principle that consistency in following established decisions is crucial in matters of classification disputes.