9911796707
TMI Blog1988 (10) TMI 146X X X X Extracts X X X X X X X X Extracts X X X X ..... n No. 150/77 exempted scrap commonly known as Butts and Shorts subject to certain conditions. The appellant company was availing this exemption. On 31.7.1982 a show cause notice was issued to them in which it was alleged that the appellants cleared 1712.500 M.T. of sheet scrap wrongly describing the same as Butts and Shorts . The allegation was denied by the appellants. But after a personal hearing granted to them the Collector of Central Excise demanded duty on the scrap removed by the appellants and also imposed a penalty of Rs. 500/-. Hence this appeal. 2A. The Collector passed the impugned order after holding that baled sheet mill scrap or H.B. scrap sheet mill cannot be included in the category of butts and shorts inasmuch as shee ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pposed the arguments and submitted that before the Collector the appellants themselves opposed the application of ISI specification and are now pleading for the adoption of the same as the specifications are now in favour of the appellants. He further submitted that ISI defines and specifies items as known commercially at a given time. In the present instance the amendment to the standards took place in 1987 only and so the same should not be applied to the clearances which took place at an earlier period. He submitted that the Collector followed the ISI specification as it existed then and pleaded that the butts were not defined by ISI and, therefore, the Collector followed the dictionary meaning of the word. He further argued that there w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... length of hot rolled sheet . It was held by the Collector that steel melting scrap consisting of steel sheet side trimmings/cutting of sheets obtained during the trimmings of steel sheets cannot be included in the category of butts and shorts. The appellants argued before the Collector that ISI 1956-62 cannot be the guideline for the purpose of excise duty and that any cuttings from length or width of sheets do not make any commercial difference and would qualify as scraps within the description given under Notification No. 150/77-C.E. It is true that before us the appellants changed their argument but no objection can be taken as in his order, the Collector obviously went by the ISI definition and held that the side cuttings cannot be incl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Iron and Steel, accept the definition of butts which is as follows : 2.18 Butt - Short-ingot or portions removed by shearing, cutting or punching from rolled, forged or pressed products for obtaining near correct size or shape. 2.100 Short (Cut Bar) - The portion left out after specified length/width are cut or sheared from hot/cold rolled products. 8. Incidentally an earlier order of the Tribunal No. 67 to 69/87-B1, M/s. Tata Iron and Steel Co. Ltd. v. Collector of Central Excise dated 23.1.1987 cited by the learned SDR opined that the ISI definition will, therefore, fit quite easily, the portion left out after specific length are cut or sheared from a long length of hot rolled sheet. This order later on held that the side sheet ..... X X X X Extracts X X X X X X X X Extracts X X X X
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