1998 (6) TMI 290 - AT - Central Excise

Summary

Issues Involved: Assessment of watch strap, eligibility for concessional assessment under Notification No. 72/86.

Assessment of Watch Strap:
The appellants claimed concessional assessment for watch strap as applicable to small scale units. The Adjudication order denied them the benefit of Notification No. 72/86, stating it was an afterthought without determining their eligibility under this notification. The appellants argued that the Assistant Collector had approved their Classification No. 44/88-89, extending them the benefit of the notification. The Commissioner of Central Excise (Appeals) had also allowed the benefit of this notification to another entity for watch strap. The Tribunal noted that the Adjudication order failed to address the appellants' eligibility under Notification No. 72/86 and remanded the case for reconsideration by the Adjudicating Authority.

Eligibility for Concessional Assessment under Notification No. 72/86:
The learned JDR contended that eligibility under serial No. 4 of Notification No. 72/86 pertained to watch components, and since there was no finding that watch strap fell under this category, the benefit of the notification could not be extended. The Tribunal observed that the Adjudication order did not conclusively determine the appellants' eligibility under the notification and emphasized that if the appellants were indeed eligible, they should receive the benefit regardless of when the claim was made. Consequently, the Tribunal set aside the Order-in-original and remanded the case for the Adjudicating Authority to reassess the appellant's claim for exemption under Notification No. 72/86.