9911796707
TMI Blog1993 (11) TMI 165X X X X Extracts X X X X X X X X Extracts X X X X ..... ing 44, as one of the inputs. These cables were sent to job worker who cut the cables to required sizes and fixed the connectors. These `cables complete as they are called, were captively consumed in the manufacture of the final product and were also sold as spares. The cables were sent to job workers in terms of the permission obtained under Rule 57F(2). Some of the cables were used for the manufacture of the final product viz. Miner s cap lamps and a portion of them were cleared as spares on payment of appropriate duty for which classification list and a price list were filed. While clearing these cables complete for home consumption, appropriate duty was debited in RG 23A Part II, instead of paying it through PLA. It is the contention o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on what grounds these were provisional. On specific enquiries by this authority from the Divisional Office, it was intimated that the assessments were provisional only in respect of the clearance of batteries due to their being sold through a `related person . Therefore, it is clear that as regards the cable connectors, the assessments were not provisional. The appellants have contested the contention of provisional assessment on the ground that they had not executed any bond in respect of this item under Rule 9B. On this point, they have relied on a number of decided cases. In any case, it is not disputed that in the show cause notices which have been issued by the Supdt. of Central Excise, there are no allegations regarding the suppressio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of Rule 57-I(2), if any inputs in respect of which credit has been taken are not fully accounted for as having been disposed of in the manner mentioned above, the manufacturer shall on demand pay duty of excise leviable on such inputs within 10 days of the notice of demand. (c) In this case, the cables were declared by M/s. Standard Batteries Limited, as inputs in respect of the miner s cap lamps for the purpose of availing Modvat Credit. The said cables were utilised either in the manufacture of Miner s cap lamp or in the manufacture of cable complete after processing outside. Hence when the cables were used in the manufacture of cable complete which are cleared on payment of duty they cannot said to be disposed of in the manner spe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d Chartered Accountant appearing for the respondents pleaded that the assessments were not provisional and the appellants have been filing the classification and price lists for the clearance of the cables. He pleaded that the cables were as it is manufactured through the job workers after obtaining permission for removal of the inputs under Rule 57F(2). He pleaded that the authorities were all along aware about the manufacture and clearance of the cables from the Respondents factory and therefore the demand as it is would be hit by limitation. He pleaded that the Respondents have been submitting all the necessary returns in regard to payment of duty as well as the nature of the goods cleared and the mode of payment in regard to the same. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eclared cables in length as input for the manufacture of cap lamps and the authorities had also allowed the appellants to send the cables in lengths to job workers under Rule 57F(2) for manufacture of cables complete which were later cleared on payment of duty as also used as component in the cap lamps. The authorities therefore could be taken to have all along been aware that cables in lengths were being converted into cables complete and that these cables complete were being used in the cap lamps and also being cleared out of the factory. The appellants are clearly on record about their clearance of cables complete and had recorded the payment of duty on these out of the Modvat Credit taken on cables in length through RG 23A Part II accou ..... X X X X Extracts X X X X X X X X Extracts X X X X
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