9911796707
TMI Blog1999 (9) TMI 162X X X X Extracts X X X X X X X X Extracts X X X X ..... res and cables. They manufactured paper covered copper strips on job work basis for M/s. B.H.E.L. Such manufacture was undertaken by them from 1978 onwards. The benefit of Notification No. 214/86-C.E. was availed of by the applicant when clearing the product manufactured for M/s. B.H.E.L. On 28-1-1998, the Show Cause Notice was issued in which the claim was made that the goods so manufactured were not eligible for the benefit of the said Notification on the following grounds : (i) a distinct product was manufactured, viz. paper covered copper strips falling under Chapter sub-heading 8544.00, out of the raw material, viz. copper bar/rod/strip, falling under Chapter 74; (ii) the said assessee had used their own inputs, in addition to the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hs. The assessees filed an appeal as also this application for waiver of pre-deposit of the duty and penalty and stay of recovery thereof. 3. We have carefully considered the submissions. 4. This notification exempts the goods manufactured in a factory on job work basis. Then Notification stipulates that the goods so cleared under this Notification should be used by the principal manufacturers in the manufacture of final goods in the principal manufacturer s factory or that these goods could also be sent to another job worker, for ultimate manufacture of the final products. The supplier of the raw materials has to give an undertaking to the Assistant Collector undertaking to produce evidence of the utilisation of the goods cleared free ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... have seen the copy of this SCN. In that Show Cause Notice the same charges were levelled as were made in the SCN leading to the disputed order before us. The knowledge of the department that the assessees were using inputs other than those received from the principal manufacturers and that they were recovering charges therefor, is apparent on reading the SCN. Shri Hidayatulla says that when the department had knowledge of the facts at the time of issue of Show Cause Notice in 1994, in the notices issued in 1998, the allegations made as to suppression of misdeclaration were without basis. 7. We see, prima facie merit in the arguments made by Shri Hidayatulla both on merits and on the aspect of limitation. We, therefore, grant unconditiona ..... X X X X Extracts X X X X X X X X Extracts X X X X
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