9911796707
TMI Blog1999 (8) TMI 362X X X X Extracts X X X X X X X X Extracts X X X X ..... s (lowest) or 8931 MTs (highest). Before deciding which will be the proper ACP, I would like to discuss the meaning of word capacity . This word gives an idea about output, dimensions, size, volume, area etc. always related with maximum amount, quantity, number, weight etc. which can be received or contained. If we say that the capacity of the oil well is 150 barels a day means maximum quantity of oil that can be taken out in a day is 150 barels. Similarly, a container is having capacity of 100 litre means maximum 100 litre of any liquid can only be stored/kept in that container. On the same analogy, the word capacity used in the rule is related to yearly production which would always be maximum production that mill is capable of producing ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uction of 8 mm and 10 mm CTD bars pinion centre distance was 205 mm. For 16 mm CTD bars pinion centre distance was 260 mm. For 20 mm CTD bars pinion centre distance was 250 mm and for 25 mm CTD bars pinion centre distance was 250 mm. It was held by him that the capacity in view of the varying pinion centre distance will be different for products of different CTD bars. He, therefore held that the capacity is always related to the maximum amount/quantity/number, weight etc. and, therefore held that the said mill s ACP is 8931 MTs from 20-12-1997. 3. Shri R. Santhanam, ld. Advocate submits that the appellant s case was based on pinion centre distance and that taking that centre distance as 205 mm, the ACP of their mill comes to 4121 MTs per ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and the production for this period of the other mill taken on lease is 2496.815 MTs. He submits that comulative total of both mills in 1996-97 is 5392.445 MTs. He submits that in Rule 5 of Annual Capacity Determination Rules, 1997 as amended by Notification No. 45/97, it is laid down that in case ACP determined by the formula in sub-rule (3) in respect of a mill, is less than the actual production of the mill, the ACP so determined shall be deemed to be equal to the actual production of the mill during the financial year 1996-97. He submits that the Commissioner had not taken into account the d value of the last stand which had been reduced from 260 mm to 205 mm while determining, the ACP of their mill. He submits since the actual produc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... bars, the Commissioner shall have to examine the actual production of the assessee. We find that there is provision for doing so in the Act itself. We also find that this Tribunal in the case of Minakshi Castings and Inder Steel P. Ltd. [A/85-86/99-NB, dated 15-1-1999, 1999 (112) E.L.T. 737 (T)] held that In fact in the case of Twincity Glass P. Ltd. referred to above by the DR it was observed that Rules framed in exercise of statutory power become a part of the Act itself unless found to be in conflict with statutory Rules. This is a case where there is clear conflict in between Section and Rule. In a way sub-section (4) of Section 3A acts as the review in the limited sense with reference to determination of ACP under sub-section (2) of ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
