9911796707
TMI Blog2007 (11) TMI 224X X X X Extracts X X X X X X X X Extracts X X X X ..... araman, Member (T) [Order per: T.K. Jayaraman, Member (T)]. -1. Revenue is aggrieved over the Order-in-Original No.18/2004 dated 27-7-2004 passed by the Commissioner of Customs and Central Excise, Hyderabad. 2. The Respondent M/s. Ganapati Sugar Industries Ltd. intended to avail the benefit of exemption Notification No. 3/2001-C.E. dated 1-3-2001 for item Sl. No. 254 in List 5, Sl. No.16. In terms of the above mentioned entry "agricultural, forestry, agro-industrial, municipal and urban waste conversion device producing energy" are entitled for the exemption benefit. The Respondents undertook to erect a power project of 15.575 MW wherein the by-product bagassee could be used as fuel apart from crane trash, paddy husk and groundnu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... plied by the manufacturers are not entitled for exemption when they are cleared to another unit. Therefore, the duty liability is clearly on the Respondent who received them knowing that they are not entitled for the benefit of the exemption Notification. She urged that the Tribunal has to set aside the order of the Commissioner. She relied on the decision of the Tribunal in the case of CCE, Chennai v. M/s. Binny Ltd . - 2001 (136) E.L.T. 1337 (Tri.-Chennai) wherein the Notification has been interpreted and it is said that benefit of Notification would not be entered for a part in respect of a similar Notification No. 205/88 Sl. No. 14, exempting bio-gas plants and bio-gas engines, as the appellant was manufacturing only a machine pa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... a very careful consideration of the entire issue, we find that the parts cleared by various manufacturers are strictly in terms of the said Notification not entitled for its benefit. In these circumstances, the manufacturers who supplied these parts are liable for payment of duty, as this is a basic principle in the Central Excise. Any manufacturer, who manufactures goods and clears the same is liable to pay duty unless the same are exempted. In this case, the Revenue has showed that the parts supplied by the manufacturers are not entitled for the benefit of the exemption Notification. There is not much dispute on this point. However, the liability is clearly on the manufacturer and not on the person who receives the goods. Hence, Revenue ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
