2002 (10) TMI 557

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..... Member (T)]. The Central Excise Authorities on a search of the premises found that one Shri H.H. Patel was assembling wrist watches and clearing them without payment of Central Excise Duty. Show cause notice was issued seeking recovery of duty amounting to Rs. 1,11,006.08. This demand was confirmed and equal amount of penalty was imposed. Shri Patel then filed an appeal. The issue before the .....

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..... of notification is not available. Shri Mehta, counsel for the respondent states that assembly did not amount to manufacture and also that the goods could not qualify for classification under Heading 91.02 since there was no precious metals. 3. We have considered the submissions of both the sides. 4. Chapter Headings 91.01 and 91.02 read as follows : 91.01 - Wrist-watches, pocket-watches an .....

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..... case of base metal inlaid with precious metal. The wordings of the entry read with Chapter Note cannot lead to the belief that in the absence of any precious metals, the watches made with base metal would not merit classification under Heading 91.02. The Commissioner seems to have mis-directed himself in holding that the watches do not fall under Heading 91.02. Sub-heading 91.10 admits only of wat .....

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