9911796707
TMI Blog2009 (1) TMI 657X X X X Extracts X X X X X X X X Extracts X X X X ..... d in favor of appellant. - E/961-962/2008 - A/349-350/2009-WZB/AHD - Dated:- 19-1-2009 - Ms. Archana Wadhwa, Shri B.S.V. Murthy, JJ. REPRESENTED BY : Shri Anand Nainawati, Advocate, for the Appellant. Ms. M.I.J. Micheal, Jt. CDR, for the Respondent. [Order per : B.S.V. Murthy, Member (T)]. - The appellants are engaged in the manufacture of Coolers, Dispensers, Fryers, Ovens, etc. falling under Chapter 84 85 of the Schedule to Central Excise Tariff Act, 1985 (for short Central Excise Tariff). The appellants availed credit of duty on inputs and utilized said credit for payment of duty on the finished goods. A dispute arose in relation to 47 items manufactured by the appellants which are listed below :- Breading T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lley Wells Fryer M - 23085 Toast Master Ice Maker Machine Ice Maker With Ice Bin 2. The appellants cleared these goods on payment of duty claiming that the above goods have been manufactured by using inputs which are imported by the appellants. Revenue has taken a stand that the process undergone by the inputs in respect of these products does not amount to manufacture and the impugned order has been passed imposing a penalty of Rs. 2,75,08,187/- on the appellant company and Rs. 10 lakhs on the Managing Director. The duty has not been demanded on the ground that finished products had already suffered duty and Cenvat credit utilized on the inputs has been reversed at the time of clearance of finish ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Plate (In-house manufactured Component) (d) Caster wheel ( Locally purchased) 2 Fryer (a) Physical verification of Goods Received in containers (b) Pre-receipt verification - Goods in triple packing Primary Packing Polybags Secondary Packing - Corrugated Box (c) Unpacking of goods received (d) Assembly of conversion kit from Natural Gas to LPG (e) Fitting Cap screw (f) Fitting O ring (g) Adjustment of Pressure Regulator (h) Fitting of Spring (i) Leak Testing (j) Programming (k) Placing the Baskets and Brush (l) P.D.I ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Pikle (a) Physical verification of Goods Received in containers (b) Pre-receipt verification - Goods in triple packing Primary Packing Polybags Thermocol Secondary Packing - Corrugated Box Third Packing - Wooden Packing (c) Unpacking of goods received (d) Performance Testing 30 Min. (e) Branding and Issuing Serial Number (f) PDI (g) Packing 7 French Dry Pump Station (a) Physical verification of Goods Received in containers (b) Pre-receipt verification - Goods in triple packing Primary Packing Polybags Thermocol Secondary Packing - Corrugated Box Third Packing - Wooden Packing ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r and Cold Water (g) Branding and Issuing Serial Number (h) PDI (i) Packing He submits that appellants have production registers/documents to show that the above processes have actually been carried out and the imported inputs cannot be cleared as such but have to be customized based on specific requirements of the customers which was done and therefore it cannot be said that process does not amount to manufacture. Further he submits that as per Section Note 6 to Section 16, states that the conversion of incomplete or unfinished goods into complete or finished goods amounts to manufacture. The activity performed by the appellants on the imported inputs satisfies thi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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