1994 (7) TMI 167 - AT - Central Excise

Summary

Issues:
1. Challenging the correctness of the order passed by the Collector (Appeals) related to demand confirmed for Sodium Rosinate.
2. Confirming a demand and penalty on the assessee for manufacturing Sodium Rosinate.
3. Dispute regarding marketability and excisability of Sodium Rosinate.
4. Request for referral to a larger bench based on technical literature and previous judgments.
5. Allegations of time-barred demands and lack of evidence of marketability.

Analysis:

1. The appeals involved a common question of law and facts challenging the order passed by the Collector (Appeals) regarding the demand confirmed for Sodium Rosinate. The Collector (A) set aside the demand and penalty imposed by the Additional Collector, leading to the Revenue's appeal.

2. The assessee was aggrieved by the order confirming a demand and penalty for manufacturing Sodium Rosinate. The department alleged that the assessee used Sodium Rosinate in manufacturing exempted paper, thus not eligible for duty exemption.

3. The dispute centered around the marketability and excisability of Sodium Rosinate. The Tribunal, based on technical literature and previous judgments, concluded that Sodium Rosinate, as an intermediate product in paper manufacturing, was not marketable and excisable.

4. The Revenue requested referral to a larger bench, arguing that technical literature indicated marketability. However, the Tribunal had extensively examined the issue in previous cases and found Sodium Rosinate not marketable, citing various technical references.

5. The assessee argued that the demands were time-barred and lacked evidence of marketability. The Tribunal upheld its previous findings, stating that Sodium Rosinate did not arise during paper manufacture and was not marketable. The Tribunal dismissed the Revenue's appeals and set aside the demand and penalty on the assessee.

In conclusion, the Tribunal's decision was based on a thorough analysis of technical evidence and previous judgments, affirming that Sodium Rosinate was not marketable and excisable. The demands were deemed time-barred, and the appeals were disposed of accordingly, with the Revenue's appeals dismissed and the order-in-original set aside.