9911796707
TMI Blog2001 (2) TMI 390X X X X Extracts X X X X X X X X Extracts X X X X ..... ning the annual capacity of production the value of d is the determinative factor or some other consideration may be taken into account. 3. The facts of the case in brief are that the appellants are engaged in the manufacture of rerolled products of non-alloy steel. Rerolling units were brought under the compounded levy scheme w.e.f. 1-9-1997 under the provisions of Section 3A. They were required to pay duty on the basis of capacity of their production determined on the basis of formula given in the Hot Rerolling Steel Mills Annual Capacity Determination Rules, 1997. In terms of Rule 3 of the Rules annual capacity of production was to be determined on the basis of the formula set out in the Rules. In terms of Rule 4(2) of these Rules in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rerolling mill remains unchanged. As such no change in the actual production will be brought about by this change in the pinion centre distance in the pinion stand. It would be seen that the device akin to wobbler has been installed in the rerolling mills earlier to artificially connect two unequals, a lesser value of centre distance of the pinion and higher value of the centre distance of the finishing stand, thereby having no effect on the production of the mill. The adjudicating authority held that this change in the value of 'd' is a cosmetic change and does not lead to any change in the ACP/MDL already fixed in respect of these units. The adjudicating authority therefore rejected the claim of the appellants for re-determining MDL/ACP u ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... diately beyond the neck. It is approximately cruciform in cross-section and fits into coupling boxes so enabling the roll to be driven. It was submitted by them once the Revenue accepts that the value of one parameter namely, 'd' has been reduced, consequently changes which will redetermine the annual capacity of production, MDL has to be worked; that the authorities do not have any option but accepting change in the value; that they cannot continue to maintain annual capacity of production already determined without change in the value of being brought into effect; that the observations of the Commissioner that the centre distance of the finishing mill remained unchanged, is irrelevant because for the purpose of capacity determination this ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... meter 'd' is permitted under the Rules. We also note that the change in the parameter d the annual capacity of production gets reduced. We note that the language of Rule 3 of Hot Rerolling Steel Mills Annual Capacity Determination Rules, 1997 is very clear. We further note that it is the centre distance of the pinion in the pinion stand which is material in the instant case. We find that the Notification No. 45/97-C.E. was issued on 30-8-1997. We further find that these Rules became operative with effect from 1-9-1997 when compounded levy scheme came into force. We find that in the instant case the Commissioner has travelled beyond the provisions of these Rules inasmuch as he has held that no change in the ACP is permitted. Looking to all ..... X X X X Extracts X X X X X X X X Extracts X X X X
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