2010 (7) TMI 586

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..... isages that when there are changes in parameters, the Revised production capacity should be given effect to. Rule 5 prescribing deemed production capacity for a period has no reference to re-determining annual production capacity as per Rule 4. The Rules envisages intimation by the manufacturer about proposed changes of parameters by giving notice of 30 days and seeking permission for such changes - The appellants have intimated the closure of factory and after completing the change of parameters informed the department - Therefore, there is no justification for not giving the benefit of re-determined annual production capacity. - E/2073/2008-SM(BR) - 803/2010-SM(BR)(PB) - Dated:- 16-7-2010 - Shri M. Veeraiyan, J. REPRESENTED BY : .....

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..... -99. The party came up in appeal before the Tribunal against the order of the Commissioner and submitted that in pursuance of decision of the Larger Bench of the Tribunal in the case of Sawanmal Shibumal Steel Rolling Mills v. CCE, Chandigarh I reported as [2001 (42) RLT 75 (Tri-LB) = 2001 (127) E.L.T. 46 (Tribunal-LB)], when there was change in parameter, during the year 1997-98, the question of adopting the annual production capacity for the base year 1996-97 does not arise. The matter was remanded to the original authority vide order dated 18-4-02 for reconsideration of the issue. 4. Commissioner by the impugned order, while agreeing with the claims about intimating the shut down, informing about the completion of modification, held th .....

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..... edings was required to consider whether the judgment of the Larger Bench was applicable to the facts of the present case. 5.2 He also submits that adoption of annual production capacity of the base year will be relevant only when there was no change in parameters. When there is change in parameters and annual production capacity determined in terms of Rule 4 of the Rules is lower, the restriction imposed under Rule 5 of the said Rules cannot be applied. 6. Learned DR reiterates the finding of the Commissioner. He briefly draws the attention to para 6 of the decision of Larger Bench in the case of Sawanmal Shibumal Steel Rolling Mills cited supra and submits that when change in parameters of the machinery leads to reduction or any change .....

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