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TMI Blog1998 (6) TMI 93X X X X Extracts X X X X X X X X Extracts X X X X ..... he petitioners by giving credit to the power cut imposed on them by the third respondent and pass such other order as is deemed fit and proper in the circumstances of the case. 2. The contextual facts depict that the petitioners are induction furnaces units engaged in the manufacture of Mild Steel ingots which is otherwise an excisable commodity. The manufacturing process of the petitioners involve melting of mild steel scrap in the furnace by heating with the help of electricity. It is a continuous process and in a day about 10 heats would be required for the purpose of having the furnaces work to its optimum level. 3. The petitions record that the petitioners have been paying excise duty on the mild steel ingots on the basis of the ac ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... oods and there shall be levied and collected duty of excise on such goods in accordance with the provisions of this Section. (2) Where a notification is issued under sub-section (1) the Central Government may, by rules, provide for determination of the annual capacity of production, or such factor or factors relevant to the annual capacity of production of the factory in which such goods are produced, by the Commissioner of Central Excise and such annual capacity of production shall be deemed to be the annual production of such goods by such factory : Provided that where a factory producing notified goods is in operation only during a part of the year, the production thereof shall be calculated on proportionate basis of the annual capac ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... blush, the contention of the writ petitioners seem to be rather interesting, more so by reason of the fact that the petitioners would be otherwise asked to pay duty for the production the quantum of which has not been able to be reached by the petitioners. But on a close scrutiny of the statute, the submission seems to be totally unfair and unjust. We do not find any substance in such a contention. The statute is clear and categorical as regards a situation as in the present case. Sub-section (4), of Section 3A itself provides that where an assessee claims that the actual production of notified goods in his factory is lower than the production determined under sub-section (2), the Commissioner of Central Excise upon giving an opportunity t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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