9911796707
TMI Blog2002 (11) TMI 603X X X X Extracts X X X X X X X X Extracts X X X X ..... ning metals or metal compounds under sub-heading 2620.00 (with a duty rate of 10% ad valorem) of the Central Excise Tariff Schedule, against the Revenue s claim to have it classified as Zinc alloy under SH 7901.20 (duty rate 15%) of the said Schedule. The adjudicating authority, by order dated 23-2-2002 passed in a remanded proceedings, classified the goods under SH 7901.20 and confirmed the demand of differential amount (Rs. 41,168.00) of duty against the assessee for the period December, 1993 to May, 1994. Hence this appeal. Heard both the sides. 2. Learned Counsel for the appellants submitted that they were not manufacturing Zinc and articles thereof and therefore the question of any Zinc alloy or Zinc waste and scrap arising in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... entionally added for generating Zinc alloy. 4. We have carefully considered the submissions. In the dip galvanization process employed by assessee, Zinc ingots were melted by heating with lead and aluminium in a tank. The C.R. Strips to be galvanized were dipped into the molten material. During this process, a scum surfaced, which was separated and cleared as Zinc dross . The Assistant Collector concerned sent a sample of Zinc Dross to the Chemical Examiner for reporting the percentage of Zinc in it. The Test Report was as under : The sample is in the form of grey coloured heterogeneous material containing 61.2% by weight of small irregular metallic pieces with oxidized surfaces, rest being powdery material. The metallic pieces cont ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... assify the sample as Zinc alloy. Admittedly, the sole basis for the Commissioner to have classified the goods under SH 7901.20 is the test report. There is no other basis for his decision. 5. The Tariff entry claimed by the assessee is SH 2620.00 the impugned order does not spell out any reason for rejecting this claim. In the case of Metaltone (Gujarat) Pvt. Ltd. cited by ld. Counsel, the goods imported and declared by the party as Zinc Ash was held to be classifiable as such under Customs Tariff Heading 26.20. 6. In the light of our findings recorded above, the subject goods are held classifiable under SH 2620.00 of the CET Schedule for the relevant period and the demand of differential duty is vacated. The impugned order stands set ..... X X X X Extracts X X X X X X X X Extracts X X X X
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