1998 (10) TMI 198 - AT - Central Excise

Summary

The case involved a demand of duty on goods removed under 57F(2) procedure by the appellant, engaged in manufacturing carburettors. The issue was whether duty should be paid on unreturned goods sent to job workers. The appellant argued that they should only reverse credit on inputs used for unreturned bodies, which were semi-finished items not yet marketable. The tribunal found the bodies to be cast products, classifiable as such, and upheld the demand of duty. The time limit for return of goods cleared under 57F(2) was not specified, allowing the department to invoke the extended period for issuing the demand. The matter was remanded for revising the duty demand after classifying the goods as castings.