2002 (10) TMI 178 - AT - Central Excise

Summary

Issues:
1. Availability of exemption under Notification No. 63/95-C.E. to goods manufactured by M/s. South Eastern Coalfields Ltd. in their Workshop, Korba.

Detailed Analysis:
The four appeals filed by M/s. South Eastern Coalfields Ltd. raised the issue of whether the exemption provided in Notification No. 63/95-C.E. dated 16-3-1995 applied to the goods manufactured in their Workshop at Korba. The Appellants had requested adjournments on earlier occasions, citing pending matters and Supreme Court judgment. However, the Tribunal proceeded with the disposal of the appeals after considering the records and hearing the arguments presented by the learned S.D.R.

The Appellants argued that their workshop was established to repair mining machinery under the Mines Act, 1952, and held licenses under relevant Acts. They contended that the workshop's registration under the Factories Act did not change its nature as a mine, emphasizing their entitlement to duty exemption. They also challenged the Adjudicating Authority's decision regarding clearances to other coalfields under the same management. On the other hand, the S.D.R. argued that the workshop ceased to be classified as a mine after registration under the Factories Act, supporting the Department's stance that the workshop did not qualify as a mine.

The Tribunal referred to its previous decision in the Appellants' own case, where it was held that the goods manufactured in a workshop not situated within the premises of mines were not eligible for the exemption under Notification No. 63/95-C.E. The Tribunal distinguished the present case from a previous case concerning the interpretation of "mine" and upheld the Commissioner's findings that the workshop did not qualify as a mine due to its registration under the Factories Act. The Tribunal emphasized the exclusion of mines under the Mines Act from the definition of a factory under the Factories Act, supporting the denial of the exemption to the goods in question.

Considering the facts and precedents, the Tribunal upheld the demand for excise duty on the goods manufactured in the workshop, as per the decision in the Appellants' own case. However, the Tribunal decided that no penalty should be imposed, aligning with its previous decision on the matter. Consequently, all penalties imposed on the Appellants were set aside, and the appeals were disposed of accordingly.