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TMI Blog2005 (1) TMI 130X X X X Extracts X X X X X X X X Extracts X X X X ..... n of the appellants is that Section 11AB of the C.E.A., 1944 was introduced w.e.f. 11-5-2001. Therefore, the interest u/s 11AB of the C.E.A., 1944 cannot be demanded prior to the date of introduction of the date of Section. We find merit in the arguments. Hence the appellants are liable to pay interest w.e.f. 11-5-2001. Appeals are disposed of as indicated above. - HON'BLE S.S. KANG, VICE-PRESIDENT, V.K. AGRAWAL (T) AND C.N.B. NAIR (T), MEMBERS For the Appellant : H.S. Srinivas, Adv. For the Respondent : S.M. Tata, S.D.R. Order S.S. Kang, Vice-President 1. Heard both sides. 2. The issue involved in these appeals pertains to determination of assessable value of the processed fabrics. The Revenue is of the view that value of pre-shrunk ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the light of above-mentioned decision of the Hon'ble Supreme Court. The contention is that Hon'ble Supreme Court in the above decision held that assessable value in respect of processed fabrics would include the value of Grey cloth in the hands of the processor plus the value of job work done plus manufacturing profit and manufacturing expenses. The contention of the Revenue is that as the assessable value of Grey fabrics in the hands of processor is to be taken into consideration, therefore, the value of Grey cloth handed over to the processor has to be taken into consideration for arriving at the assessable value of the processed fabrics and not the length of the processed fabrics. 6. We find that the issue is already settled by t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r. In order to explain the position it is made clear by the following illustration; if the value of the grey-cloth in the hands of the processor is Rs. 20/- and the value of the job work done is Rs. 5/- and the manufacturing profit and expenses for the processing be Rs. 75/-, then in such a case the value would be Rs. 30/-, being the value of the grey-cloth plus the value of the job work done plus manufacturing profit and expenses. That would be the correct assessable value . 8. The Tribunal in the case of Indian Rayon Industries Ltd. C.C.E., Calcutta-IV (Supra) decided the issue in favour of the Revenue. After taking into consideration the decision of the Hon'ble Supreme Court in the case of Ujagar Prints v. Union of India and Others ( ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... element, if any, of the raw material supplier included in the assessable value . 9. The appellants relied upon the decision of Gemini Dyeing Printing Mills Ltd. v. CCE, Bangalore, reported in 1997 (91) E.L.T. 195 (Tribunal). In this case the decision of the Hon'ble Supreme Court in the case Ujagar Prints v. Union of India and Others is not taken into consideration. In these circumstances as the issue is already settled by the decision of the Hon'ble Supreme Court, therefore, view taken by the Tribunal in the case of Indian Rayon and Industries Ltd. v. CCE, Calcutta-IV (Supra) is approved and the decision taken by the Tribunal in the case of Gemini Dyeing Printing Mills Ltd. v. CCE, Bangalore (Supra) is over-ruled. 10. The issue refe ..... X X X X Extracts X X X X X X X X Extracts X X X X
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