9911796707
TMI Blog1977 (8) TMI 55X X X X Extracts X X X X X X X X Extracts X X X X ..... x. P3-A. "ASSESSMENT MEMORANDUM (Strike out the portions which are not applicable) 1. The assessee has paid the duty on the above goods correctly except to the extent indicated below. The duty short levied as indicated below should be paid by the assessee with in ten days in his account current (P.L.A.). (Sd.) Signature and stamp of Central Excise Officer-in-charge Place : Palghat Date : 10-3-1970. Cushion compound used in the factory for the manufacture of Cushion Backing Tread Rubber is dutiable. A quantity of 1885-700 Kgs. of Cushion Compound have been used in the factory during September, 1969 for the manufacture of Cushion backed tread rubber. Value of 1885-700 Kgs. Cushion compound@ Rs. 18.14 per Kg. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... one of scrutiny and finalisation of the self assessment-return submitted by the writ petitioner in accordance with the provisions of Chapter VII-A of the Central Excises and Salt Rules, and in particular, of Rules 173-A, 173-B, 173-F, 173-G and 173-I of the Rules. To reinforce his argument, Counsel for the appellant relied on Ext. P3-A, the return filed, and the self assessment made by the assessee (which was the basis of P3-A) and supplemented by explanations to make the entries. 3. Counsel for the appellant submitted that Ext. P3-A which required the duty short-levied to be paid by the Assessee into his current account was clearly indicative of the action contemplated by R. 173-I. (2) of the Rules which reads as follows : "173-I. (2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ushion. This compound though almost similar in appearance to cushion compound is of a slightly different composition and much cheaper in value. However, consistent with the trade practice tread rubber with backing continues to be marketed by them under the name "Tread Rubber with Cushion Backing". They have been paying the Central Excise Duty on all these products at the time of clearance of these goods and this practice was followed by them for the past 6 years. However, all of a sudden, the local Central Excise Authorities have interpreted this cheaper compound used by them for backing the tread stock as cushion compound and therefore, subject to Excise duty. As such, they are now required to take formal clearance on payment of duty of th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uantity is precisely what is dealt with and assessed to duty in Ext. P3-A. Counsel for the Respondent would counter that cushion compound was an ingredient of tread rubber-Item 1 in Ext. P3-A -25760 K. gms of which are shown to column 6 as removed from the factory, and for which a total duty of Rs. 41,811.25 is shown as paid in column 9. This it was said, would include 'cushion compound' which according to Counsel for Respondent is an ingredient of Tread Rubber, and merely because the assessee mistakenly showed it as a separate item in Exts. R3-A the Department, it was said, would not be justified in extricating the item and subjecting it to duty Counsel for the appellant argued with force that even on the statement of the respondent the mi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ufficient to attract R. 10. It was an interesting experience how the ingenuity of Counsel could feed a laconic and non-speaking memorandum such as Ext. P3-A with so much of substance and material. We are not satisfied however, that it is the province of this Court in Art. 226 to dress up the skeleton of an uncommunicative order by investing it with flesh and blood as attempted by Counsel on both sides. We are aware of the golden rule that where two views are plausible with respect to an order, interference under Art. 226 is forbidden, or, at any rate, would not be wise. But we are not prepared, on the position disclosed in this case, to say that the learned Judge was wrong in interfering under Art. 226. He was faced with an order which, on ..... X X X X Extracts X X X X X X X X Extracts X X X X
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