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TMI Blog2001 (6) TMI 282X X X X Extracts X X X X X X X X Extracts X X X X ..... gned Order, has confirmed the demand of duty and imposed penalty on the food processing units installed and erected at the work site of their customers holding that the activity of assembly and erection of all components sent to site amounts to manufacture as the same results in the emergence of the goods having distinct name and function; that the Commissioner also held that all parts and equipments collected and connected at site can be dismantled and bought and sold in SKD condition. The learned Advocate further submitted that the emergence of a processing line, i.e., various equipments imported directly by the Customers and procured and supplied locally by the Appellants, placed in a sequence in an organised manner for making use of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Ltd. v. CCE, 1998 (97) E.L.T. 3 (S.C.). 3. The learned Advocate also relied upon the decision in the case of M/s. Virdi Brothers v. C.C.E., Indore, Final Order No. 199-211/2001-A, dated 18-5-2001 [2000 (132) E.L.T. 86 (T)] wherein it was held that refrigeration plant/cold storage is immovable property and is not an excisable commodity under the Central Excise Act. 4. On the other hand Shri M.P. Singh, learned D.R., submitted that the process of assembly undertaken by the company at the site of the customers. Food Processing machinery, which is a separate from its component, emerges which is specifically excisable and dutiable. He placed reliance on the decision in the case of Sirpur Paper Mills Ltd., supra. The learned D.R. also submitt ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sses and which are marketable. We observe from the impugned Order that constituent parts/equipments of Food Processing Machine were purchased/received by the Appellants, besides supplying some of the machines by them themselves, at the customers work site all such machines/equipments were placed in line, connected with pipes/power connection. The Commissioner also gave his findings that whole activity carried out by them is a manufacturing activity and that all machines/equipments could be dismantled and bought and sold in SKD condition. We do not agree with this reasoning adopted in the impugned Order. Once the Food Processing Line is dismantled, what is available is not the entire food processing line but different machines/equipments an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... aid down by this Court in the case of Municipal Corporation of Greater Bombay (supra). In our view, the findings recorded do not justify the conclusion of the Tribunal inasmuch as on removal a turbo alternator gets dismantled into its components-steam turbine and alternator. It appears that the Tribunal did not keep in mind the distinction between a turbo alternator and its components. Thus, in our view, the test of permanency fails. 6. The ratio of the decision in the case of Sirpur Paper Mills Ltd., supra, is not applicable to the facts of the present matter. The Apex Court has the occasion to consider the decision in Sirpur Paper case in Triveni Engineering case. The Court observed that as the CEGAT recorded the finding that the whole ..... X X X X Extracts X X X X X X X X Extracts X X X X
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