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TMI Blog2010 (1) TMI 1059X X X X Extracts X X X X X X X X Extracts X X X X ..... ommissioner (Appeals) No. 50-CE/BPL/07-08 dated 12-7-2007 by which the order of the original authority dated 6-3-2006 which was in favour of the respondent was upheld. In other words, the Department has filed this appeal against the concurrent finding of both the authorities below which are in favour of the assessee. 2. Heard both sides. 3. The respondent is a manufacturer of AMT Transformers ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... submits that the Metal waste and scrap as per Section Note 8 to Section XV of Central Excise Tariff Act, 1985 means metal waste and scrap from the manufacture or mechanical working of metal and metal goods. Therefore, scrap of CRGO sheets cleared by the respondents has to be treated as CRGO sheets only and accordingly, the demand under Rule 3(5) has to be upheld. 5.1 I have carefully considere ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... et the design. The laminations/sheets which are left as cuttings are sent to the scrap area and cleared from the factory as M.S. waste and scrap. The laminations/sheets cut to the specified design also sometimes develop defects during the manufacturing processes such as non-uniform edges, bends, kinks and rusting due to handling and therefore, they are not fit for building core. These sheets are a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... longer fit to be used for the manufacture of transformer core. For the respondent they are nothing but waste and scrap and if after clearance certain manufactures find some use for it, the respondent cannot be faulted for this. As per Note 8 to Section XV of the Central Excise Tariff Act, 1985, metal waste and scrap from the manufacture or mechanical working of metals and metal goods definitely n ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ion of the Department to treat such clearance as clearance of CRGO sheets and to invoke the provisions of Rule 3(5) is not at all justified. The appeal by the Department against the concurrent findings of the Commissioner (Appeals) therefore, deserves to be rejected. If the prayer of the Department is accepted, it will only lead to revival of show cause notice and further round of infructuous liti ..... X X X X Extracts X X X X X X X X Extracts X X X X
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