9911796707
TMI Blog2018 (11) TMI 965X X X X Extracts X X X X X X X X Extracts X X X X ..... nufactured goods and is a waste - appeal allowed - decided in favor of appellant. X X X X Extracts X X X X X X X X Extracts X X X X ..... n 11AC (1)(c) of Central Excise Act, 1944. Aggrieved by the said order, appellant filed appeal before the Commissioner and the Commissioner rejected the said appeal. Hence the present appeal. 2. Heard both the parties and perused the records. 3. Learned counsel for the appellant submitted that the impugned order is contrary to the binding judicial precedent. She further submitted that the appellant is a manufacturer of exempted goods which is edible Sunflower oil and in the process of manufacture of the edible oil, the wastage generated i.e. Free Fatty Acid, Waxes and Spent Earth which are inevitable waste. She further submitted that the appellant never intended to manufacture the same and the same cannot be considered as a result of manu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... fore the demand of excise duty on the same is not legal and proper. 4. On the other hand the learned AR defended the impugned order and relied upon the decision in the case of Commissioner of Central Excise, Jalandhar Vs. A.G. Fats Ltd. reported in 2012 (277) E.L.T. 96 (Tri.- Del.). He further submitted that this decision of the Tribunal has been upheld by the Hon'ble Supreme Court in the case of A.P. Solvex Ltd. Vs. Commissioner - 2014 (300) E.L.T. A74 (S.C). 5. After considering the submissions of both the parties and perusal of the material on record, we find that on the issue involved in the present case there was conflicting decisions of the Division Benches of the Tribunal and the matter was referred to the Larger Bench and the Lar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... de when a product will be treated as a waste or a by-product, in the present set of facts the products under consideration are clearly not in the nature of by-products emerging during the course of manufacture. The process of manufacturing refined vegetable oil is essentially by removing the unwanted materials that were present in the crude vegetable oil so that a refined vegetable oil can be obtained. In this process of refining, the unwanted materials are removed. Hence, we are of the considered view that the removal of unwanted materials resulting in products like gums, waxes and fatty acid with odour cannot be called as a process of manufacture of these gums, waxes and fatty acid with odour. The process of manufacture is for refined ric ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
