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TMI Blog1994 (4) TMI 168X X X X Extracts X X X X X X X X Extracts X X X X ..... thout such a cap. 4. The appellants had filed a writ petition in the Madhya Pradesh High Court wherein they had prayed that they be permitted to have their appeal heard on merits without the requirement of any deposit. The Hon. Madhya Pradesh High Court has directed this Tribunal to hear and decide the appeal without insisting for the pre-deposit of the amount as demanded by the Collector of Central Excise, Indore, vide Order dt. 19-8-1992. They also directed to hear and decide the appeal within two months from 19-7-1993. 5. The matter was posted for hearing on 19-8-1993, when Shri K.V. Pradhan, Consultant, appeared for the appellant. The respondents were represented by Shri A.K. Singhal, JDR. 6. Shri K.V. Pradhan, the learned Consultant submitted that the dispute related to the inclusion of the value of the plastic cap, fitted on the aluminium collapsible tube, while arriving at the assessable value of such tubes. He stated that the matter was already covered by the Tribunal Decision (as confirmed by the Hon. Supreme Court), in the case of Metal Box of India Ltd. v. Collector of Central Excise [1983 (13) E.L.T. 956 (Tribunal), read with 1990 (45) E.L.T. A-33]. 7. The learn ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... roval of the price list. 42. It is also provided that where the price declared on the gate pass or accompanying Challan or advice note, does not represent the value as determined under Section 4 of the Act, the proper officer may after such further enquiry as he may consider necessary, reassess the duty due and thereupon the assessee shall pay the deficiency, if any, by a debit in his account current. 43. Prior to 1-4-1990, the assessee were including the value of caps and labour charges in the assessable value of the tubes, and were paying the duty on the whole amount. Thus up to 30th March, 1990 their invoice value and the assessable value plus duty, were the same. With effect from 1-4-1990 on their own, without any intimation to the department, without any approval from the proper Central Excise Officer, they stopped including the value of caps and the labour charges for fitting the cap on the tubes in the assessable value of the tubes, and thus invoice value was higher than the assessable value + duty. We have already referred to above that under the proviso to Rule 173C(11), where the price declared by the assessee did not represent the value under Section 4, then the def ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... llow the provisions of limitation to expire . In this case the appellants did not disclose the fact of non-inclusion of the cost of caps in the assessable value of the aluminium collapsible tubes, and this came to light only on the basis of the investigations and inquiry by the department at a later date. 52. In the case of Pushpam Pharmaceutical v. Collector of Central Excise - 1989 (40) E.L.T. 74 (Tribunal), the Tribunal has observed that the extended time limit for raising demand was applicable when fact of manufacturer was not brought to the notice of the deptt., and exemption was also availed of. In such circumstances the Tribunal held that the lower authorities have rightly invoked the longer period of five years in raising demand of duty against the appellants . 53. Accordingly we consider that the duty has rightly been demanded for the extended period. 54. However keeping in view the circumstances of the case the amount of penalty is reduced from Rs. 2000 to Rs. 500. The appeal is otherwise rejected and the impunged order is confirmed and we order accordingly. The cross-objections filed by the Revenue are also disposed of accordingly. 55. [Order per : Harish Chand ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f this Tribunal in the case of Metal Box of India v. Collector of Central Excise, reported in 1983 (13) E.L.T. 956 (Tribunal) and the Tribunal has held as under :- * * * * * * 56. Hon ble Bombay High Court in the case of Extrusion Processes Pvt. Ltd. v. U.O.I. reported in 1987 (31) E.L.T. 866 (Bom.) has held as under :- * * * * * * 57. My learned brother has referred to old and new Tariff. For the proper appreciation, Heading 76.12 of the new tariff is reproduced below :- * * * * * * Tariff Item 27(f) and Explanation I thereunder are reproduced below :- * * * * * * A comparative study of both the tariffs shows that in the old tariff the container has defined in Explanation I of Tariff Item 27(f), whereas in the new Tariff the details of the flexible tubes have been given as Plain, Lacquered, Printed and Other . In the essence, I do not find any difference in the old and new Tariff. Section 4 of the Central Excises and Salt Act is independent to the classification aspect. Valuation has to be done i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... value of the collapsible tubes manufactured by them before April 1990. He reiterated the submissions made before the referring Bench and the case law reported in 1988 (38) E.L.T. 566 in the case of Narne Tulaman Manufacturers Pvt. Ltd. v. Collector of Central Excise and in the case of Koran Business Systems Ltd. v. Supdt., Central Excise reported in 1992 (58) E.L.T. 48 (Bom.) = 1992 (43) ECR 291 (Bom.) which have been referred to already in the refering order. These decisions clearly go to show that even bought out part s value has to be added to the assessable value of the final product which is manufactured by using these bought out parts. The learned Departmental Representative also contended that mere facts that the goods are accessories will not be a ground for excluding their parts and in this context he relied upon the Tribunal decision in the case of Bajaj Auto Ltd. v. Collector of Central Excise, reported in 1989 (44) E. L. T. 763 (Tribunal) holding that the value of foot rest in two wheeler has to be added to the assessable value of scooter. These have been confirmed by the Supreme Court. 65. The submissions made by both the sides have been carefully considered. The ap ..... X X X X Extracts X X X X X X X X Extracts X X X X
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