9911796707
TMI Blog2004 (3) TMI 465X X X X Extracts X X X X X X X X Extracts X X X X ..... rded in Paras 3 to 5 are reproduced herein : 3. I have gone through carefully the facts of the case and the submissions made by the appellants. The issue regarding levy of duty on the twisted filament yarns has already been decided vide orders-in-appeal Nos. 43-47/1998-(MDU), dated 25-5-1998. In para 5 of the said order, I have observed as under :- 5. I have carefully gone through the facts of the case, the grounds of appeal and the submissions made during the course of personal hearing. The main question to be decided in all the appeals is whether twisting of nylon filament yarn, Polyester filament yarn, Polypropylene filament yarn and artificial filament yarn falling under Chapter 54 amounts to manufacture or not and if so, whether ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... or Industries Ltd. v. CCE, [1989 (40) E.L.T 280]. I observe that there is no finding by the lower authority whether and how the twisted yarn is marketable? Without such an evidence, the twisted yarn in that very form cannot be held to be marketable. It has to be wound on some support after it is twisted. Immediately after twisting, the twisted yarn is subjected to the process of winding and it is marketable in that form. But the twisted yarn subjected to winding is exempt from duty from under Notification No. 35/1995-C.E., dated 16-3-1995 as amended vide Notification No. 84/1995-C.E., dated 18-5-1995. Sl. No. 5 of this Notification prescribes Nil rate of duty in respect of yarn falling under Chapters 52, 54 and 55 subjected to beaming, warp ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... contention to state that there is a change in the yarn when it is twisted and the twisted yarn has not suffered duty and Sl. No. 5 of the Notification No. 5/1995 or 8/1996 or 4/1997 per se does not exempt twisted filament yarn as the term twisting is not mentioned against that serial number . It is also stated that mere fact of winding of twisted yarn in cones/cheese to make it marketable cannot make the whole process free of duty. It is stated that even if twisted yarn is wound on the cones/cheese so as make it marketable the fact remains that twisted yarn did not suffer any duty prior to winding hence the process of winding cannot be said to be exempted from duty under Notification No. 35/1995 (Sl. No. 5). 3. SDR reiterated the grounds ..... X X X X Extracts X X X X X X X X Extracts X X X X
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