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TMI Blog1998 (2) TMI 359X X X X Extracts X X X X X X X X Extracts X X X X ..... taining 8 gms each bearing the brand name vijay printers had been recovered which had been seized. In the impugned order the Commissioner has stated that the goods are covered by the Tariff description under Heading 2404 which includes chewing tobacco including preparations commonly known as Khara Masala, kimam, dokta, zarda, sukha and surti. The Commissioner also referred to the Tariff heading which covers chewing tobacco including preparations thereof and the Commissioner found that this would mean that even where no additives are added, tobacco which is packed and marketed in branded containers would be classifiable under sub-heading 2404.41. Once it is found that the goods were excisable being manufactured tobacco, the requirement und ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is shown by testing of the samples of the product that the goods are jarda unmanufactured tobacco, the question of applying Chapter Note 2 of Chapter 24 as done by the Commissioner to hold that these are manufactured goods will not arise. The ld. Chartered Accountant further relied upon the Supreme Court decision in the case of Ranadey Micronutrients v. Collector of Central Excise - 1996 (87) E.L.T. 19 (S.C.) to assail the Commissioner s finding that the Board s circular referred to above is only advisory and not binding on the adjudicating authority. The Commissioner s finding is contrary to the law laid down by the Supreme Court. Reliance was also placed on the Tribunal decision in the case of Collector of Central Excise, Pune v. Jaikisan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g lime and catechu or whether it is unmanufactured tobacco. The Chemical Examinor has reported on testing of the sample that the sample is in the form of bits of tobacco leaves packed in a paper pouch with printed label bearing brand name and no added ingredient could be detected. Another sample was in the form of bits of tobacco leaves with no added ingredients. The Chemical Examiner himself has drawn attention to the Board s circular dated 23-6-1987 referred to supra wherein the Board has clarified that jarda unmanufactured tobacco merely broken by beating and then served and packed in retail packets for consumption as chewing tobacco; which may be commonly known in the market as jarda would be appropriately classifiable under Heading No. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n of the tobacco in question being in the nature of unmanufactured jarda chewing tobacco will be fully covered by the Board s circular dated 23-6-1987 and the grounds on which the Commissioner chosen not to follow it are not sustainable in view of the Supreme Court judgment supra. The Commissioner could not therefore, take this stand as he has done in the impugned order that the Ministry s instructions are for guidance and such instructions have no legal authority unless they are issued under provisions of Section 37B of the Act. This stand has clearly been now over-ruled. The appellants have also lead evidence to show that jarda tobacco could be both unmanufactured variety as well as processed manufactured tobacco and in this case the depa ..... X X X X Extracts X X X X X X X X Extracts X X X X
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