Appellants granted benefit under Notification No. 9/98-C.E. Appeal allowed, impugned order set aside.

The Appellants were found eligible to avail the benefit of Notification No. 9/98-C.E., dated 2-6-98 for goods manufactured by them starting from 12-10-98. The impugned Order disallowing the benefit was set aside, and the appeal was allowed in favor of the Appellants.

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Issues involved:
Whether the benefit of Notification No. 9/98-C.E., dated 2-6-98 is available to the goods manufactured by M/s. Mount Everest Mineral Water Ltd. with effect from 12-10-98.

Analysis:

Issue 1: Benefit of Notification No. 9/98-C.E. availability
In the appeal by M/s. Mount Everest Mineral Water Ltd., the main issue was whether they were entitled to the benefit of Notification No. 9/98-C.E. dated 2-6-98 for goods manufactured by them starting from 12-10-98. The Appellant initially paid full Central Excise duty without availing the concessional duty for small-scale units. They later revised their classification list on 12-10-98 to claim the benefit of the said notification. The Commissioner (Appeals) disallowed the benefit citing non-fulfillment of conditions specified in the Notification, particularly related to the timing of opting for the exemption. The Appellant argued that the notification's wording allowed for exercising the option even after the notification's promulgation on 2-6-98. They also relied on legal precedents to support their case. On the other hand, the Senior Departmental Representative supported the findings of the impugned Order.

Issue 1 Analysis:
The Tribunal considered that the Appellants had indeed opted for the concessional duty after the promulgation of Notification No. 9/98 on 2-6-98, and there was no explicit prohibition in the notification against filing the declaration post the notification date. The condition specified in the notification required the option for exemption to be in writing and effective from the date of exercise without the possibility of withdrawal for the remaining financial year. The Tribunal noted that the Appellants' prior clearances were to be included in the slab computation as per the notification's terms. Consequently, the Tribunal held that the Appellants were eligible for the benefit of the Notification, overturning the decision of the Commissioner (Appeals) and allowing the appeal.

Final Decision:
The Appellants were found eligible to avail the benefit of Notification No. 9/98-C.E., dated 2-6-98 for goods manufactured by them starting from 12-10-98. The impugned Order disallowing the benefit was set aside, and the appeal was allowed in favor of the Appellants.

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