Excise classification of rivets: forged products with distinct identity were held outside forged shapes and sections.

Rivets manufactured by cutting, die-forging and finning were held not to fall within Item 26-AA(ia) as forged shapes and sections, because the finished goods had acquired the identity of a distinct and specifically known article. The expression "shapes and sections" was treated as not covering products that emerge from forging but retain a separate commercial identity. On that reasoning, rivets were classifiable under Item 68 as a distinct specified article, and the appellate classification in favour of the assessee was upheld against the Revenue.

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Issues: Whether rivets manufactured by cutting, die-forging, and finning were classifiable under Item 26-AA(ia) of the Central Excise Tariff as forged shapes and sections, or under Item 68 of the Central Excise Tariff as a distinct specified article.

Analysis: The manufacturing process involved not only die-forging but also finning, and the finished product was rivets, a distinctly known article with its own specific name. The expression shapes and sections was understood as not extending to articles that had assumed the character of a specific and identifiable product. On that basis, rivets could not be treated as mere forged shapes and sections not otherwise specified.

Conclusion: The rivets were not classifiable under Item 26-AA(ia) and were correctly classifiable under Item 68 of the Central Excise Tariff; the finding was against the Revenue and in favour of the assessee.

Final Conclusion: The classification adopted by the appellate authority for rivets was upheld, and the Revenue's challenge failed.

Ratio Decidendi: A product that emerges from forging but retains the identity of a distinct and specifically known article is not classifiable as a mere forged shape or section under a tariff entry meant for shapes and sections not otherwise specified.

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