9911796707
TMI Blog1998 (4) TMI 334X X X X Extracts X X X X X X X X Extracts X X X X ..... ssing of man-made fabrics and cotton fabrics. For printing, the appellants used nickel cylinders which they purchased from the market. The department alleged that the appellants are manufacturing nickel cylinders and were clearing them without submission of price lists, classification lists, without obtaining Central Excise Licence and without paying duty on them. Accordingly, a show cause notice was issued to the appellants asking them to explain as to why the duty should not be demanded from them and why a penalty should not be imposed on them. 3. In reply to the show cause notice, the appellants submitted that the nickel cylinders in question are duty paid, purchased by them from the market; that the marketability is an essential ingre ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... fication No. 201/87 on 2-9-1987. It was also argued that Notification No. 39/90-C.E. (N.T.), dated l0-10-1990 under Section 11C, the Government has granted remission of duty retrospectively in respect of above nickel cylinders. After careful consideration of the submissions, the adjudicating authority confirmed the demand and imposed a penalty. 5. Dr. P.V. Jois, ld. Advocate appearing for the appellants submitted that the nickel cylinders were not manufactured by them but were procured from outside; that they were only making certain engraving to suit their design requirements; that since nickel screen cylinders were procured by them on payment of duty and cylinders even after engraving of the design remained the nickel cylinders no duty ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Eastern Spinning and Weaving Co. Ltd. did not consider the issues which are relevant to the present case inasmuch as the Collector (Appeals) in the case relied upon had relied on the Trade Notice and observed and there was nothing in the Revenue Appeal that the Trade Notice was not applicable. He submitts that thus the present case was clearly distinguishable. 8. Heard the submissions of both sides. For the sake of clarity we reproduce the facts of the case cited and relied upon by the appellants are as under :- There is a composite mill and they are inter alia engaged in printing of Cotton Fabrics on Rotary Printing Machine with the help of Nickel Screen Cylinders/Rollers. To undergo the said process they purchase perforated Nickel Sc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... m in Rotary Printing Machine. The admitted position is that these cylinders are not marketable. The admitted position is also that the perforated Nickel Screen Cylinders are procured form the market on payment of duty. Thus, the question arises that in the absence of any evidence showing that the engraved Nickel Screen Cylinders were marketable. We hold that the process undertaken by the appellants is not process of manufacture. It is more so as product before engraving is cylinder and even after engraving designs remains cylinder as is held in the case of Delhi Cloth and General Mills Company Limited cited above that every change is not manufacture; that only such changes which bring into existence a distinct product, distinct in name, cha ..... X X X X Extracts X X X X X X X X Extracts X X X X
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