9911796707
TMI Blog2005 (7) TMI 193X X X X Extracts X X X X X X X X Extracts X X X X ..... engaged in the manufacture of Electrical Switches, plugs sockets for electrical items, Telephone, TVs etc. falling under heading 85.36, 85.17 & 85.29 of the Central Excise Tariff. (ii) The main unit is at Gala No. 10 to 13, Gandhi Industrial Estate; Safad Pool, Andheri-Kurla Road, Mumbai-72. They have manufacturing units at 17 other locations in Mumbai, out of which only at five units full fledged manufacturing activity takes place and only three out of these five manufacturers ISI specification materials, the other two being non-ISI mark units. The other 12 units are engaged in part processing, assembly for the ISI mark units exclusively (for purpose of this appeal would be referred to as J-workers.) (iii) Moulded Articles are sent dire ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ocuments another SCN dated 13-1-99 was issued by the Commissioner to deny benefit of notification 56/95 CE & recover duty for the period 1994-95 to 1996-97 & invoked the penal proceedings. The Commissioner (Adjudication) vide an ex parte order dated 29-10-04, confirmed the duty demands under proviso to section 11A(1) & imposed penalty under rule 173Q of Central Excise Rules, 1944. Hence this appeal. 2.1 The Commissioner in para 21 of the order impugned before us observes that all the documents were supplied to the appellants on four occasions i.e. 27-11-97, 1-12-97, 5-3-99 & 7-5-99 & therefore the non receipt claim on documents in the show cause notice issued on 13-1-99 was not upheld after considering the correspondence exchanged and tak ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ial of cross examination of witnesses sought. 2.3 Examining the issue on merits it is found - (a) The use of power in the manufacture or ISI Mark products and consequential denial of benefits of Notification 56/95-C.E. as found by the lower authority is not upheld - (i) Out of 17 units, only five units are engaged in complete manufacturing activities and the notification stipulates the conditions - (a) goods are manufactured by using fully hand operated process for moulding. (b) no power is used for any other process except buffing i.e. polishing or for testing. (c) goods confirm to ISI standards. (b) &nb ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ing against the Circulars issued. The heating of the powder necessary by heating of the moulds before the operation as in this case certified by the Engineer have to be interpreted as not disqualifying the exemption. In any case, the ld. Commissioner by relying upon the stated facts by the supervisor of the manufacturing operators at Cona Industries concluded - When questioned about power operated and hand operated hydraulic moulding machines, he explained that for both the types of machine power is required for heating the powder, but in case of powder operated hydraulic machines, the opening and closing of dies etc. were done automatically with the help of electrically operated motors and starter switch etc. conducted against the appella ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
