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TMI Blog2016 (12) TMI 532X X X X Extracts X X X X X X X X Extracts X X X X ..... They are clearing the goods on payment of duty in open market and also clearing the cable to various Mega Power Projects against International competitive bidding by availing the exemption under notification 12/2012- CE dated 17.3.2012 (S.No.326) and earlier notification No. 6/2006 dated 1.3.2006 (S No. 91). During the course of manufacture of finished goods, armoured cable or cable at armoured stage, sheathed wire were arising which was chargeable to duty as these cables were used captively by the appellants. Therefore, they were claiming exemption under notification No. 67/95 but Revenue is of the view that as the appellant are clearing the final goods without payment of duty, therefore, for intermediate products, i.e. armoured cable, the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n market and to Mega Power Projects without payment of duty. 8. An identical issue came up before the Tribunal in the case of Thermo Cables Ltd. (supra) wherein this Tribunal observed as under: "4. After considering the submissions, we have found great force in the submissions made by the learned counsel. It is not in dispute that the final products were cleared without payment of duty under Notification No. 6/2006-C.E. which, at Sl. No. 91 thereof, prescribed nil rate of duty for all goods (falling under any chapter) supplied against international competitive bidding. This exemption was subject to the condition that the goods were exempted from basic customs duty and additional duty of customs when imported into India. It is not in disp ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ding in terms of Notification No. 6/2006-C.E. ibid. 5. Against the above backdrop, one has to examine the scope of Notification No. 67/95-C.E., dated 16-3-1995 (as amended) in so far as the present case is concerned. The opening paragraph of this Notification exempts from payment of CE duty any inputs manufactured in a factory and used within the same factory in or in relation to the manufacture of final products. Input must be one of those specified in the first column and the final product must be one of those specified in the second column of the table annexed to the Notification. Admittedly, copper wire is one of the inputs and the power cables manufactured and cleared by the assessee are final products covered by the Notification. Ho ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... inputs in question in the manufacture of the exempted final products, he is entitled to the benefit of exemption from payment of duty on such inputs in terms of the opening paragraph of the Notification. This right is not hit by the opening portion of the proviso to the Notification as the manufacturer is squarely covered by the exception carved out of the proviso vide clause (vi) under the proviso. The Department, it appears, would like to drive the assessee out of the purview of this exception on the ground that the latter had not discharged the obligation prescribed in Rule 6 of the CENVAT Credit Rules, 2004. We have already held that the assessee did not have any liability under sub-rules (1) to (4) of Rule 6 inasmuch as these sub-rule ..... X X X X Extracts X X X X X X X X Extracts X X X X
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