2004 (9) TMI 254 - AT - Central Excise

Summary

Issues:
- Rejection of appeal by CESTAT despite claim of similar orders in other appeals
- Interpretation of Rule 57CC regarding reversal of value for cleared goods
- Rectification of order based on subsequent order of the same Member (T)

Analysis:
1. The first issue in this case revolves around the rejection of the appeal by CESTAT despite the appellants' claim that in other appeals involving similar issues, the Tribunal had passed orders accepting their submissions. The appellants argued that since duty paid inputs were first used in Diesel Engines, which were then used in the manufacture of exempted Couple sets, they should not be required to reverse the value of goods as per Rule 57CC. However, this plea was rejected, leading to the filing of an appeal before CESTAT.

2. The second issue pertains to the interpretation of Rule 57CC, which requires the reversal of a certain percentage of the value of goods cleared without payment of duty. The appellants contended that since the duty paid inputs were initially used in Diesel Engines, which were not directly used in the exempted Couple sets, they should not be liable to reverse the value. Despite this argument, the Tribunal rejected the appeal, leading to further legal proceedings.

3. The final issue involves the rectification of the order based on a subsequent order of the same Member (T) in a different case. The Member (T) acknowledged that the impugned order was passed on a wrong appreciation of facts in the subsequent case. Consequently, the appellants filed a Review Application on the basis of this acknowledgment, seeking the rectification of the original order dated 4-3-2004. Upon perusing both orders, it was determined that the applicants' contention was correct, and the Review Application of the order was allowed, leading to the restoration of Appeal No. 521/2001 to its original number.

In conclusion, the judgment highlights the importance of accurate interpretation of rules and the significance of rectifying orders based on subsequent clarifications or acknowledgments of errors in previous decisions.