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TMI Blog1990 (11) TMI 142X X X X Extracts X X X X X X X X Extracts X X X X ..... . Sahai, JJ. N.S. Hegde, Additional Solicitor-General (A. Subba Rao, Advocate, with him), for the respondent. J.F. Pochkanawalla, Senior Advocate (Raian Karanjawala, Manish Karanjawala, Mrs. Nandini Gore and Mrs. Manik Karanjawala, Advocates, with him), for the appellants. [Judgment per : K.N. Saikia, J.]. - The appellants M/s. Plasmac Machine Manufacturing Co. Pvt. Ltd., Bombay are manufacturers of Injection Moulding Machines of four categories and the same were classified under Tariff Item No. 68. For these machines they manufacture approximately 19 parts, one of which is called "Tie Bar Nuts" which are the subject matter of this appeal. The Tie Bar Nuts are manufactured from 2 " hexagonal M.S. Bar having special threads known as `acme threads'. The Tie Bar Nuts are stated to be components of Injection Moulding Machines (tailormade) and are used to fix the platens in correct distances in between tie bars. 2. The appellants submitted their classification list for the year 1981-82 for 84 gms., 56 gms., and 70 gms. semi-automatic and fully automatic "Plasmac" Injection Moulding Machines under Tariff Item 68 alongwith enclosure of 19 parts manufactured and used in the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as "the Act". 4. Mr. Puchkanimal, the learned counsel for the appellants submits, inter alia, that the appellants have since long been classifying Tie Bar Nuts under T.I. 68 without objection from the department and there is no justification for the department to change that classification; that the Tribunal's finding that on the appellants' own showing that Tie Bar Nuts performed the function of fastening was wrong; and that the Tie Bar Nuts produced by the appellants to specifications required for captive use in the Injection Moulding Machines and not for sale in the market could not be classified under T.I. 52. 5. Mr. Santosh Hegde, the learned Addl. Solicitor General, referring to the meaning of `fasten' in the Webster's Third New International Dictionary submits that the appellants themselves having stated that the function of the Tie Bar Nuts is to `fix' the platens in correct distance between Tie Bars, in their letter dated October 22, 1981 to the Superintendent, Central Excise, Range-I, they have in effect admitted that the Tie Bar Nuts performed the function of `fastening', which also includes `fixing', and that the Tribunal was, therefore, right in classifying those ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... roducer or the manufacturer is or is not the owner of goods is not determinative of the liability. 8. Mr. Puchkanimal has emphasised that fastening has not been the function of Tie Bar Nuts manufactured by the appellants and used in their Injection Moulding Machines, and so those would not fall under Tariff Item 52. Tariff Item 52 at the relevant time said : "52. Bolts and nuts, threaded or tapped and screws, of base metal or alloys thereof, in or in relation to the manufacture of which any process is ordinarily carried on with the aid of power. Explanation. - The expression `Bolts and nuts, threaded or tapped and screws' used in this item shall include bolt ends, screw studs, screw studding, self-tapped screws, screw hooks and screw rings." It has not been denied that the Tie Bar Nuts are of base metal or alloys manufactured with the aid of power and are acme-threaded. From the language in Item 52, it would appear that fastening in the strict sense may not be the only function of nuts. Fixing may also be a kind of fastening. In Simmonds Marshal Ltd. v. M.R. Baralikar, Asstt. Collector of Central Excise, Pune - 1985 (22) E.L.T. 378 the Bombay High Court held that `nyloc s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ariff Items. We are using it in this case for the meaning of `fasten' and `fix' and not for the meaning of `nuts'. From the above shades of meaning, we do not find such difference between the functions of `fastening' and `fixing' in respect of a `nut', so as to justify classification of Tie Bar Nuts differently from other nuts on the basis of its function. 13. The submission that `nuts' in Entry 52 are to be understood in the commercial sense is not disputed by the department. It is an accepted principle of classification that the goods should be classified according to their popular meaning or as they are understood in their commercial sense and not as per the scientific or technical meaning. Indo International Industries v. Commissioner of Sales Tax, U.P. - 1981 (8) E.L.T. 325 (SC) = 1981 (3) SCR 294 and Dunlop India Ltd. v. U.O.I - 1983 (13) E.L.T. 1566 (S.C.) = (1976) 2 SCC 241 have settled this proposition. How is the product identified by the class or section of people dealing with or using the product is also a test when the statute itself does not contain any definition and commercial parlance would assume importance when the goods are marketable as was held in Atul Glass ..... X X X X Extracts X X X X X X X X Extracts X X X X
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