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TMI Blog1990 (9) TMI 182X X X X Extracts X X X X X X X X Extracts X X X X ..... in the Appeal Memorandum. In nutshell the grounds are that the process of calendering of the bleached fabric with the help of plain rollers does not bring into existence a commodity commercially different from the uncalendered fabric and the process of the said calendering does not amount to manufacture under Section 2(f) of the Central Excises and Salt Act, 1944. Consequently, no duty liability can be attached to the calendered fabric. In the interest of proper appreciation of the issue in dispute, after hearing both sides, we allowed the Miscellaneous Application. 3. By the impugned order, the Collector held that the appellants had been engaged in the process of calendering grey cotton fabrics and hand-bleached cotton cloth with plain ro ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... iod from 28-11-1969 to 30-3-1970. The appellants filed classification list which was approved by the Central Excise Officer. The classification list showed the process of calendering followed by them. The Central Excise Officers were also visiting the factory premises of the appellants and had verified the process of calendering carried on by them. There was no allegation of suppression of facts or wilful mis-statement in the show cause notice. Hence, the demand is barred by limitation. 5. The learned Departmental Representative reiterated the impugned order. 6. We have perused the records and have considered the arguments. In paragraph 3 of the impugned order, the Collector has observed as follows : "The defence has claimed that hand-bl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... bleached cloth before calendering." ' 7. In 1989 (40) E.L.T. 218 (S.C.) (supra), the Honourable Supreme Court held that although calendering and shearing are the finishing processes, yet the unprocessed fabric (Grey) after calendering and shearing did not cease to be unprocessed fabric. This Tribunal also held in the case of M/s. Sidheswari Cotton Mills Pvt. Ltd. (supra) that calendering of cotton fabrics with plain roller did not amount to manufacture for the purpose of Section 2(f) of the Central Excises and Salt Act, 1944. 8. Admittedly, in the present case, the appellants used only plain rollers and not "grooved rollers". Therefore, following the ratio of the aforesaid two judgments, we also hold that the calendering of the fabrics b ..... X X X X Extracts X X X X X X X X Extracts X X X X
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