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TMI Blog1989 (4) TMI 198X X X X Extracts X X X X X X X X Extracts X X X X ..... Bombay and to restore the Assistant Collector s order. In effect, the proposal was to pass an order holding that the proviso to Central Excise Notification No. 33/63 would be attracted in the instant case and vegetable non-essential (VNE) oil used in the manufacture of vegetable tallow would be ineligible for the duty exemption under the said notification. 2. The facts of the case, briefly stated, are that Hindustan Lever processed 122.02 MT of V.N.E. oils and converted this into vegetable tallow by hydrogenation process. They cleared this vegetable tallow at nil rate of duty under Notification No. CER-8(3)/56-C.E., dated 14-1-1956. The second proviso to Notification No. 33/63-C.E., dated 1-3-1963, as amended from time to time, provides ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... istant Collector that if he is satisfied that the tallow has been used in the manufacture of soap by the same manufacturer and if the soap was cleared on payment of duty the exemption of Notification No. 33/63 would be available to the V.N.E. oil used in the manufacture of the vegetable tallow and in subsequent manufacture of soap. 3. The reason disclosed in the show cause notice issued by the Government is that vegetable tallow was itself a finished excisable product within the meaning of entry No. 13 of the Central Excise Tariff (CET) and once it is cleared after availing of exemption from the whole of the duty of excise, in terms of the proviso to Notification No. 33/63, the exemption provided to VNE oils used in the manufacture of ve ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ization." This, according to Shri Jain, meant that if the VNE oil had undergone, any process other than the 3 specified ones, such oil would not be processed VNE oil for the purpose of the notification. In the present case, the oil had undergone the process of hydrogenation. It was, therefore, not processed VNE oil though it may be VNE oil, all sorts . When the Counsel for Hindustan Lever pointed out that this ground was being put forth for the first time now, the SDR agreed it was so. 8. The learned Counsel for Hindustan Lever submitted that their VNE oil was subjected to the process of bleaching, one of the specified processes. This submission in the memorandum of appeal before the Appellate Collector has not been denied by the D ..... X X X X Extracts X X X X X X X X Extracts X X X X
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