9911796707
TMI Blog2006 (8) TMI 60X X X X Extracts X X X X X X X X Extracts X X X X ..... considered as manufacture and charge of no discharge of duty on the removals of such films as well as on the valuation of certain 'covered yarn' being manufactured by them and cleared on valuation which were required to be reopened for assessment at value higher. The duty demands and penalties have been arrived on the appellants along with certain other charges made on various issues of Modvat eligibility and procedural nature and allegations of clandestine removal under the Central Excise Law and the Procedures. 2. (a)Bombay High Court in M/s. Garware Plastics Polyester Ltd., 1991 (52) E.L.T. 506 (Bom.), after considering the specific entry under the erstwhile Tariff Heading 15A(2) which refers to 'lacquer or metallised film' separate ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... de. The other tests stipulated by the Apex Court, as regards manufacture, have to be applied that is now well settled [see (i) 1995 (76) E.L.T. 241 (S.C.) - Moti Laminates paras 6, 7 11; (ii) 1999 (108) E.L.T. 321 (S.C.) Hyderabad Industries Ltd., 2001 (130) E.L.T. 401 (S.C.), paras 5 and 8; Constitutional Bench in the case of Man Structural affirmed the decision in the case of Moti Laminates]. Since Lal Woollen Silk Mills did not refer to these decisions at (i) and (ii) above, the same would not be good law to apply to the facts herein. More so, when we see force in the following plea of the ld. Advocate for the appellants : The enumeration of lacquering in separate sub-heading can only indicate that in an integrated factory where af ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... re required to be set aside and the matter remitted back for redetermination of penalties, if any, on other issues, if any. On the other issue, as regards classification of the special type of yarn being manufactured by the appellants, from the test report given and the description of the yarn, we find that the depute of classification of the yarn cannot be limited to Heading 5605.10 or 5605.90 and the classification of the yarn will have to be reconsidered, also, under Heading 5605.00 and the relevant HSN Notes. Since the duty demands on the said yarn have been reopened for reassessment by these proceedings, and classification is an important aspect for redetermination of duty, we find that in the facts and circumstances of this case, th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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