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Cimmco Birla Ltd. - Appellant @HASH Commissioner of Central Excise, Jaipur

Case No: Civil Appeal No. 8076 of 2004.

Date of Decision: April 27, 2015

Citation: (2015) 319 ELT 552

Hon'ble Judges: A.K. Sikri and Rohinton Fali Nariman, JJ.

Bench: Division Bench

Advocate: Ms. Meenakshi Arora, Sr. Advocate, S/Shri Prashant Kumar, Mohit D. Ram and Joseph Pookkatt for M/s. AP and J Chambers, Advocates, for the Appellants; S/Shri Arijit Prasad and B. Krishna Prasad, Advocates, for the Respondents

Final Decision: Allowed

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Judgement

@JUDGMENTTAG-ORDER

1. The appellant was getting contract for manufacturing of Railway wagons from the Indian Railways. Inputs for manufacture of these wagons were

supplied by the Indian Railways, meaning thereby the appellant was only doing job work. Insofar as Railway wagons are concerned, they are

exempted from duty w.e.f. 1-3-1993. The only question as to whether the inputs/parts which were used for manufacturing of Railway wagons are

to be subjected to Excise duty. It is not in dispute that these are intermediate products and captively used and would come within the definition of

manufacture"". However, before these goods could be exigible to the Excise duty, it was also incumbent upon the Department to prove that the

said parts were marketable. We find that a specific contention was taken by the assessee that the goods in question are not marketable. However,

the Department did not lead any evidence to demonstrate that these products are marketable. On this ground alone the present appeal is liable to

succeed.

2. We, thus, set aside the impugned order of the Tribunal which has not even gone to this essential aspect of the matter.

3. The appeal is accordingly allowed.