9911796707
TMI Blog2003 (6) TMI 66X X X X Extracts X X X X X X X X Extracts X X X X ..... )]. - In these two appeals, arising out of two adjudication orders the common issue involved is whether Central Excise duty is chargeable on the tyres, destroyed during the testing undertaken by M/s. J.K. Industries Ltd. 2. Shri B.L. Narasimhan, learned Advocate, submitted that the Appellants manufacture tyres and tubes after taking the approval from Bureau of Indian Standards (BIS), and accordin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ty control testing within the factory are not assessable goods because only after such testing the final product becomes marketable. He relied upon the following decisions :- (1) Bhansali Engg. Polymers v. CCE, Indore, 1999 (114) E.L.T. 947 (Tribunal). It has been affirmed by the Apex Court as reported in 2002 (143) E.L.T. A175 (S.C.). (2) CCE v. Sundarshan Beopar Co. Ltd., - 1993 (64) E.L.T. 35 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... oratory. 3. Countering the arguments Shri Jagdish Singh, learned DR reiterated the findings contained in the impugned order. He, further, emphasized that it is not in dispute that the tyres which have been removed by the Appellants from shop floor for Inhouse testing were fully manufactured tyres ready for use; that these tyres had neither been entered in statutory records i.e. R.G.-1 register no ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he present matters as the tyres are in fully manufactured condition and these have been removed only to conform with the requirement of BIS. He also mentions that the decision in the case of ITC Ltd. is not applicable to the facts of the present matters as in the case of cigarettes specific Rules such as Rule 93 requires cigarettes to be put into packets which would be enclosed in a wrapper and af ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on by the Appellants. The Supreme Court in the case of ITC Ltd. has held that the quantity of cigarettes sticks that is destroyed in the course of quality control test is not liable to Excise duty. We do not find any force in the submissions of the learned DR that tyres are marketable even before the tests are carried out by the Appellants. If this contention is accepted, every product can be used ..... X X X X Extracts X X X X X X X X Extracts X X X X
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