9911796707
TMI Blog1999 (7) TMI 242X X X X Extracts X X X X X X X X Extracts X X X X ..... r manufacture of technical grade pesticides, therefore, they are being taken up for consideration together : Sl No. Appeal No. Order impugned dated Amount of duty Rs. Amount of Penalty Rs. Period (1) (2) (3) (4) (5) (6) 1. E/1068 to E/1070/98 7/97 12-11-1987 CCE 22,64,028 2,39,010 (Sec. 11AC) 4 lacs [9 (2) 173Q] 1-4-1995 to 22-7-1996 2. E/1341 to E/1344/98 6/97 28-11-1992 CCE 1,31,88,737 32,15,782 (Sec. 11AC) 50 lacs [9(2) 173Q] 1-4-1995 to 22-7-1996 3. E/V-1801/ 98 8/98 15-5-1998 CCE(A) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ot manufacture as no new product emerges even though innert carriers/solvents and dispersing and stabilising agents etc. have been added. Based on this decision, the Assistant Collector of Central Excise, had vide order dated 23-7-1995 held that no duty would be payable by the appellants for the formulations. The learned Counsel submits that show cause notices were issued in this matter inasmuch as consequent to the issue of Circular by the CBEC No. 40/2/95, dated 27-7-1995, as reported in 1995 (79) E.L.T. T 77, it had held that such formulations would be amounting to manufacture and the resultant products would be classifiable under 38.08 of the CET. The learned Counsel further submits that this Circular was struck down as null and void b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pesticidal chemicals in concentrated form, labelling or relabelling of containers intended for consumers and repacking from bulk pack to retail packs or the adoption of any other treatment to render the product marketable to the consumer shall amount to manufacture . The learned Counsel submits that these three appeals, however, related to the period before introduction of the said Note 2. 4. With respect to appeals at Serial Nos. 4 to 7, the period in question is commencing after introduction of the said note on 23-7-1996, as noted in the table above. 5. Heard Shri Chidananda Rao, learned Consultant for appeals at Serial Nos. 4 5 above, Shri P.C. Anand, Chartered Accountant for appeal at Serial No. 6 above and Shri Mir Fazal H ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ons are applicable to any kind of packing. 7. The learned DRs reiterate the orders impugned and submit that the decision of the Hon ble Delhi High Court in the case of Pesticides Manufacturers Formulators Association of India has been challenged by the Revenue and the said appeal has been admitted by the Hon ble Supreme Court. However, they do concede that no stay has been given by the Hon ble Supreme Court so far. 8. We have carefully considered the rival submissions and the records of the case. We find that so far as appeals at serial numbers 1 to 3 are concerned, the issue involves formulations by diluting with solvents and addition of other chemicals like stabilising and dispersing agents, innert carriers and packing thereon would ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ducing Note 2 to Chapter 38 had been considered and it had been held that there was no distinction for the purpose of classification under Heading 38.08 of pesticides in bulk form or those to be sold in retail. We find in view of the fact that the Hon ble Supreme Court has not stayed the operation of this judgment of the Delhi High Court, therefore, we are to apply the ratio thereof to the facts of this case. While considering to do so, we find that the decision of the Tribunal in question as well as the period of dispute are exactly identical and that it was covered and considered by the Delhi High Court as well as the Tribunal in the two cases noted above. Therefore, with respect, applying the ratio thereof, we set aside the orders impugn ..... X X X X Extracts X X X X X X X X Extracts X X X X
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