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TMI Blog2000 (11) TMI 552X X X X Extracts X X X X X X X X Extracts X X X X ..... ng rise to this appeal may briefly be stated as under : 3. The respondents are engaged in the manufacture of sewing thread. They were also found to had manufactured wax washers from the duty paid paraffin wax procured form the market in their premises valued at Rs. 4,86,286.27 during the period October 1992 to February 1994 falling under sub-heading 9602.00 of the CETA and captively used the same without payment of excise duty amounting to Rs. 85,771/-. They were accordingly served with a show cause notice dated 13-10-1995 vide which they were called upon to pay the duty amount and penalty was also proposed to be imposed on them. They, however, contested the correctness of that notice by alleging that they only melted the duty paid paraff ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... for waxing the sewing thread. The Assistant Commissioner took the view that it was a process of manufacture as a new and distinct article emerged therefrom. The Commissioner (Appeals) did not accept this view of the Assistant Commissioner on the ground that mere melting of the lump form of the wax and putting the same in the moulds to change that form in order to use in the winding machines for waxing the sewing thread, did not amount to manufacture. 7. The sole issue thus involved is as to whether the process adopted by the respondents of melting lump form of the wax purchased from the market and putting the same in the moulds to prepare wax washers for using in the winding machine for waxing the sewing thread, could be called a manufact ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ion. But something more is necessary and there must be transformation, a new and different article must emerge having a distinctive name, character or use. 10. In the instant case not the character, but only shape of the wax is being changed by the respondents in order to use it more conveniently and properly in their winding machines for waxing the sewing thread. They procure duty paid wax in lump form from the market, and after melting, transfer it in the moulds to get the shape of washers. The basic character of the wax remains the same and only new shape is given by them in order to use the same in the winding machine for waxing the sewing thread. No knew or different article or commodity is thus manufactured by them. The process ado ..... X X X X Extracts X X X X X X X X Extracts X X X X
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