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TMI Blog2011 (8) TMI 600X X X X Extracts X X X X X X X X Extracts X X X X ..... the value of goods. Levy of duty of excise on jute carpets - In Commissioner of C. Ex., Bhubaneswar-1 v. Champdany Industries Ltd., (2009 (9) TMI 7 - SUPREME COURT OF INDIA) relying upon Rule 3 of Central Excise Rules, the Supreme Court held that dominant intention in the rule specifically, clause (a) thereof is that the heading which provides the most specific description shall be preferred to the heading providing a more general description. Following this interpretation in paragraph-46 of the judgment it was held that the goods manufactured by the respondent-company are to be classified as jute carpet floor coverings. We are surprised to find that the Customs, Excise & Service Tax Appellate Tribunal has, in the present case having consi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tion to the rate of duty or to the value of goods for the purposes of assessment. He submits that the appeal in the present case relates to the waiver of pre-deposit for hearing the appeal by Customs, Excise & Service Tax Appellate Tribunal. Under the proviso to Section 35-F this appeal not raising any question having relation to the rate of duty of excise or to the value of goods for the purposes of assessment is maintainable in High Court. He has relied upon a judgment of Supreme Court in Navin Chemicals Mfg. & Trading Co. Ltd v. Collector of Customs, 1993 (68) E.L.T. 3 (S.C.) in which the Supreme Court considered the question of maintainability of the appeal in the light of Section 129-C and held in paragraphs 7, 11 and 13 as follows :- ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e purposes of assessment. 11. It will be seen that sub-section (5) uses the said expression 'determination of any question having a relation to the rate of duty or to the value of goods for the purposes of assessment' and the Explanation thereto provides a definition of it 'for the purposes of this sub-section', The Explanation says that the expression includes the determination of a question relating to the rate of duty; to the valuation of goods for purposes of assessment; to the classification of goods under the Tariff and whether or not they are covered by an exemption notification; and whether the value of goods for purposes of assessment should be enhanced or reduced having regard to certain matters that the said Act provides f ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he appellant the option of redeeming them upon payment of a fine of ₹ 10,000/-. That the appellant might avail of the option, pay the fine and clear the said goods, when questions as to the rate of duty and value for purposes of assessment might possibly arise, is far too remote a contingency to satisfy the test that is laid down." 5. Shri Laxmi Kumaran has also relied upon judgment of Bombay High Court in Videocon Industries Ltd. v. Commissioner of Customs, Aurangabad - 2011 (263) E.L.T. 28 (Bom.) in which the judgment of Supreme Court in Navin Chemicals Mfg & Trading Co. Ltd. (supra) was considered and it was held in paragraph-7 as follows :- "7. Applying the ratio laid down by the Apex Court in the aforesaid case, in ou ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... by weight in the carpets manufactured by them. In Commissioner of C. Ex., Bhubaneswar-1 v. Champdany Industries Ltd., 2009 (241) E.L.T. 481 (S.C.) relying upon Rule 3 of Central Excise Rules, the Supreme Court held that dominant intention in the rule specifically, clause (a) thereof is that the heading which provides the most specific description shall be preferred to the heading providing a more general description. Following this interpretation in paragraph-46 of the judgment it was held that the goods manufactured by the respondent-company are to be classified as jute carpet floor coverings. The Supreme Court found another reason namely that the argument raised by the counsel of petitioner was not a part of the show cause notice. The Ci ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... facts and circumstances, we stay the effect and operation of The order dated 4-7-2011 passed by the Custom, Excise & Service Tax Appellate Tribunal, New Delhi in Appeal No. E/977/2010- EX(DB) M/s. Obeetee Textiles (P) Ltd. v. C.C.E. Allahabad, and direct that the appeal be heard by the Custom, Excise & Service Tax Appellate Tribunal, subject to decision of this appeal, without insisting upon the pre-deposit of the excise duty and penalty. 10. We also call upon the counsel appearing for the department how Excise & Service Tax Appellate could have taken a different view both on the facts and the question of law, which are prima facie covered by the judgments delivered in similar cases which were decided in favour of companies manufactu ..... X X X X Extracts X X X X X X X X Extracts X X X X
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