1997 (12) TMI 295 - AT - Central Excise

Woollen and acrylic spun yarn containing non-cellulosic fibre in the form of waste exempted under Notification No. 280/77-C.E.

Summary

The appellants availed duty exemption under Notification No. 280/77 for woollen and acrylic spun yarn. Officers found a blend of woollen and polyester fibre in a sample, leading to a demand for differential duty. Appellants provided evidence of purchasing wool, staple, and polyester waste, but the authorities upheld the demand. Tribunal held that the Chemical Examiner's report did not prove the origin of the fibre, supporting the appellants' claim. The appeal was allowed, and the impugned order was set aside.