2005 (1) TMI 504 - AT - Central Excise

Tribunal Upholds Central Excise Benefit for Industrial Expansion Under Notification No. 33/99-C.E.

COMMR. OF C. EX., DIBRUGARH Versus HINDUSTAN COCA COLA BEVERAGES (P) LTD.

The Tribunal upheld the Order of the Commissioner of Central Excise, extending the benefit of Notification No. 33/99-C.E. to the respondents for ... Exemption to units in North-East area - Notification No. 33/99-C.E. - Issues involved: Interpretation of Notification No. 33/99-C.E. for benefit extension based on substantial expansion of industrial unit.The judgment dealt with the appeal by the Revenue against the Order of the Commissioner of Central Excise, Shillong, extending the benefit of Notification No. 33/99-C.E. to the respondents, engaged in the manufacture of Aerated Waters, due to a reported substantial expansion of their industrial unit by not less than 25%. The Department contended that despite an increase in certain sections, the critical machineries determining installed capacity remained the same, thus disputing the eligibility of the respondents under the Notification.Upon review, the Tribunal found that the report accepted by the Commissioner indeed demonstrated a substantial expansion of the industrial unit as required by the Notification. It was clarified that the expansion referred to in the Notification pertained to the entire industrial unit as a whole, rather than specific sections or machinery within the unit. This interpretation was supported by previous Tribunal Orders in similar cases.In light of the evidence and legal precedents, the Tribunal concluded that the impugned Order extending the benefit of the Notification to the respondents was valid and upheld the same. The appeal by the Revenue was rejected, and an application to include additional documents already part of the record before the Commissioner of Central Excise was allowed for consideration.