2016 (10) TMI 226 - AT - Central Excise

Denial of benefit of exemption under notification 10/97-CE dated 01.03.1997 - Dissolved Acetylene - end use of the product, consumable - requirement of certificate by the officer not below the rank of Deputy Secretary of the Government of India as to the end use of the goods - Held that - appellant produced a certificate and on perusal of the same, it was found that the said certificate is signed by the Deputy Director, who is of the rank of Deputy Secretary to the Government of India. It was evident from the certificate that inputs to be used for the research purposes and benefit of exemption notification 10/97 is applicable. Since the Tribunal is a last fact finding authority and such factual matrix on verification and correlation and of use of Dissolved Acetylene cleared to Department of Atomic Energy and certificate issued thereof, requirement of the notification duly fulfilled - appellant eligible for benefit of exemption under notification 10/97 for supplies of Dissolved Acetylene to the Department of Atomic Energy - appeal allowed - decided in favor of appellant.

Summary

Issues involved: Eligibility for exemption under notification 10/97-CE for clearance of 'Dissolved Acetylene' to Department of Atomic Energy.

Analysis:
1. Issue: Eligibility for exemption under notification 10/97-CE.
- The issue revolved around whether the appellant was entitled to the benefit of exemption under notification 10/97-CE for the clearance of 'Dissolved Acetylene' to the Department of Atomic Energy.
- Both lower authorities had denied the benefit, stating that the appellant did not fulfill the condition of producing a certificate certified by an officer not below the rank of Deputy Secretary of the Government of India regarding the end use of the goods.

2. Analysis: Certificate produced by the appellant.
- The appellant presented a certificate signed by the Deputy Director, equivalent in rank to a Deputy Secretary to the Government of India, confirming that the 'Dissolved Acetylene' supplied to the Department of Atomic Energy was for research purposes.
- The Tribunal found the certificate valid and conclusive, indicating that the benefit of exemption under notification 10/97 applied in this case, despite the Departmental Representative's argument that these certificates were not submitted earlier.

3. Decision: Tribunal's ruling on eligibility for exemption.
- The Tribunal, as the final fact-finding authority, considered the factual matrix, including the use of 'Dissolved Acetylene' supplied to the Department of Atomic Energy and the certificate issued.
- Concluding that the appellant met the conditions for exemption under notification 10/97, the Tribunal overturned the impugned order, allowing the appeal with consequential relief.
- The decision emphasized the importance of the certificate provided by the appellant in establishing eligibility for the exemption, disregarding the Departmental Representative's argument due to the factual evidence presented.

This judgment highlights the significance of meeting the conditions specified in notifications for claiming exemptions and the crucial role of valid certificates in establishing eligibility for such benefits. The Tribunal's thorough analysis of the factual evidence and the legal requirements led to a favorable outcome for the appellant in this case.