TaxTMI 
TaxTMI 
1995 (3) TMI 193
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....m x 1000 mm x 260 mm. It is further stated that before performing the actual function of boring, X-Y co- ordinates have to be correctly aligned and marked on the work piece which is placed on the table of the machine. Marking of X-Y co-ordinate is done by milling operation. Milling cutter is attached to the spindle and X-Y Co-ordinate are finally machined on the work piece. The correct alignment is checked by microscope attached to the machine. After X-Y Co-ordinates are correctly marked the exact position where boring is to be performed were marked with the aid of microscope. Thereafter a drilling tool is attached to the spindle and a light drilling is done on the exact spots where subsequent borings are expected to be performed. This action is to facilitate the boring tool to operate easily. After drilling is done boring tool is attached after removing drilling tool and boring is performed at the exact positions. The jig or fixture is thus manufactured or formed. It is further stated in the order-in-original that these facts were brought to the notice of the importer and explained to them that the machine imported is capable of performing not only boring but milling and drilling ....
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.... mill" as appearing at page 82. The same is reproduced herein below : Boring machine (MECH ENG) A machine tool designed to machine internal work such as cylenders, holes in castings and dies; types are horizontal, vertical; Jig and single. Boring Mill (MECH ENG) A boring machine tool used particularly for large work pieces; types and horizontal and vertical". Jig (ENG) A machine for dyeing piece goods by moving the cloth at full width (open width) through the dye liquor on rollers. (MECH ENG) A device used to position and hold parts for machining operations and to guide the cutting tool. (MIN ENG) A vibrating device in which coal is cleaned and ore is concentrated in water. JIG Borer (MECH ENG.) A machine tool resembling a vertical milling machine for locating and drilling holes in jigs". Reference to few passages from `Machine Tool Technology and Manufacturing Processes' by C. Thomas Clivo [Galgotia Publications (P) Ltd. 1989] at page 483, 484 was also made. They are as follows : "Jig Boring, Jig Grinding and Universal Measuring Machines and Processes Precision Jig Boring Machine Tools, Processes and Accessories. The Jig borer is specially adopted to ....
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....les with greater accuracy than any other machine tool. Although the single-point boring bar is the most important tool used, drills, reamers, and counter bores are also used". Page 477 Jig Borer "A Jig borer has the essential elements of a vertical-spindle milling machine but it is built lower to the floor and is of much more rigid and accurate construction". The ld. Advocate submitted that merely because the machine performed other functions by itself the benefit of the notification cannot be denied. He has drawn strength from the certificate issued by CMTI, Bangalore and the catalogues and literature of the supplier. 8. Shri B.K. Singh, ld. SDR countering the arguments of the ld. Advocate, submitted that it is an admitted fact that the machine in question is not a simple jig boring machine but it is a sophisticated machinery performing several other complicated functions. He submitted that the supplier is a Russian firm and their understanding is different from the American authors, whose references the ld. Advocate has relied. He countered by saying that even from the dictionary meaning of `Jig boring' it should perform "mere drilling holes in jigs" (McGraw Hill....
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.... boring machines were different from drilling or milling machines. Ld. SDR relied on the ruling rendered by the Tribunal in the case of Batliboi v. Collector of Cus., Bombay, 1987 (32) E.L.T. 118. 9. We have carefully considered the submissions of both the sides, perused the entire records, technical literature, catalogue and the impugned orders. 10. The S. No. 2 of the table appended to Notification No. 40/78-Cus. reads - "tool room precision co-ordinate jig boring machine with or without numerical control". 11. The ld. Collector has noted the details of the imported machine in paras 21 and 22 of his order which is noted herein below : "21. On the front page of the Manual, in addition to foreign languages, following has been stated "jig Boring Machines" "2B460A, 2E470A". The application, of the above machines, is mentioned at page 43, of the manual, in English version. In the opening paras, it is stated as under :- "The Jig boring machines models 2E460A, 2E460A and 2E470A are designed for machining holes in large size jigs, fixtures and workpieces where the job requirements as to the accuracy of the relative position of the holes are very high. ....
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....he definition of the boring machine, boring mill and jig borer in single term as appearing in the McGraw Hill Dictionary of Engineering as extracted supra discloses that a jig borer is a "machine tool resembling a vertical milling machine for locating and drilling holes in jigs." The definition of a boring machine is different. We have to go by the understanding in common parlance of a jig boring machine. The technical literature is merely an aid for our understanding. The certificate of CMTI, Bangalore, relied by the importer also states that "Hence all jig boring machines must have capability for carrying out light milling and drilling operations, though the principal operations carried out on a jig boring machine is jig boring operation. There is no jig boring machine which cannot perform light milling and drilling operations". (emphasis ours) The certificate emphasise that the jig boring machine must have capability for carrying out light milling and drilling operations. The ld. Collector has also not accepted this certificate, as the same had been issued without even examining the machine in question. We do not find any infirmity in this portion of the impugned order. ....
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....d by the appellant. In the case of Batliboi & Co. Ltd. (supra), the Tribunal held at paras 4 and 5 as follows :- ********** It is clear that the Tribunal dealt with the same notification as in the present case and the above findings squarely apply to the facts of the case. Applying the ratio of the above ruling and in the light of our findings, we do not see any good reason to interfere with the impugned order and hence we order for rejecting the appeal. Appeal dismissed. Dated : 30-8-1993 Sd/- (S.L.Peeran) Member (J) 12. [Contra per : P.C. Jain, Member (T)]. - I have carefully perused the order proposed by the learned brother but I regret I am unable to agree with the conclusion reached by him. My order is as follows :- 12.1 The goods imported are "CNC Jig Boring Machine Model 24K40CF4 (Precision Accuracy over 300 mm Travel)" with accessories. The appellants have claimed classification under sub-heading 8466.93 as also benefit of Notification No. 40/78-Cus. There is no dispute regarding classification. Dispute is whether the benefit of the aforesaid notification is available to the goods or not. S. No. 2 which is the relevant serial nu....
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.... and lamination dies, which require great accuracy between a variety of locating parts. Holes in the punch pad and die plate, pilot holes, and bushing holes which align the stripper plate are obvious `naturals' for a jig borer. Such holes can be produced quickly and accurately. By interchanging the tools in the spindle of the jig borer, operations such as drilling, boring, reaming and counterboring can be readily performed. Unit 71 - Accessories and small tools A wide variety of accessories enable a jig borer to meet three basic requirements, accuracy, versatility and productivity. Only accessories concerned with drilling, boring and reaming will be dealt with in this unit. Drilling Key type and keyless chuks are used to hold the smaller sized straight shank spotting tools, drills, and reamers .............. Boring Single point boring, the most accurate method of attaining locational accuracy in jig boring makes it necessary to have a wide variety of boring tools.......... Unit 72 - Jig Boring Holes Since the beginning of the machine age, the problem of locating holes accurately has plagued the toolmaker. Before the development of accurate locating and measu....
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....d to refer to your d.o. letter No. SC-INF/128/VKS/88 SIIB, dated 28-12-1989 addressed to Secretary (TD) and DG (TD) seeking clarification from DGTD on the import of Universal Milling and Boring Machine/Bed type milling machine being imported under the nomenclature 'Tool Room Precision Coordinate Jig Boring Machine' by various companies. 2. The then Secretary (TD) & DC(TD), Shri P.R. Latey, in his d.o. letter dated 9th April, 1986 addressed to Shri H.M. Singh, Principal Collector, Customs & Central Excise had given ample clarification on this issue. We have further examined the parameters so as to give the correct classification for jig Boring Machine. The Tool-makers' Association and the Indian Machine Tool Manufacturers' Association in turn had also been consulted after consulting CMTI also and we have come out with the suggestion for indicating the accuracy and other specifications under which the Machine could be classified as `Tool Room Precision Coordinate Jig Boring Machine'. 3. In the light of the above , DGTD recommend that only such machines with the following description and specification and accuracy should be termed as `Tool Room Precision Coordinate Jig....
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....g Boring machine Model 2E 470A being imported from Russia by M/s. Sukeshan Equipments Pvt. Ltd. meets the requirements of constructional features of a jig boring machine and hence qualified to be classified under the category of a jig boring machine." 14. Learned SDR, on the other hand, relies on the definition of `Jig Borer' read with the definition of boring machine given in McGraw Hill Dictionary of Engineering already reproduced in the proposed order of the learned brother. He submits that the function of a boring machine is simply to bore the hole i.e. to enlarge an already existing hole. It is admitted to the appellants that the imported goods besides carrying out the function of boring the holes does many other functions. He has, therefore, supported the order of the lower authorities. He also relies on three Members Tribunal's decision in the case of Batliboi v. C.C., mentioned above in the learned Brother's order. He submits that this is also a case on Notification 40/78. He further submits that this judgment is binding on the Tribunal. 14.1 In his rejoinder, learned advocate, Shri V. Sridharan for the appellant, submits that Batliboi case does not apply to....
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....re, feel that validity of the certificate cannot be challenged on the ground taken by the lower appellate authority in discarding the said certificate. The certificate is very categorical that all jig boring machines must have the capability for carrying out light milling operations, though the principal operation carried out on a jig boring machine is jig boring operation. There is no jig boring machine which can perform light milling and drilling operations. Expression `light milling and drilling operation' is attempted to be contrasted with `sophisticated and computerised precision oriented' operations. In my view, light milling and drilling operations should be contrasted with heavy milling and drilling operations. Light milling and drilling operations may be sophisticated and computerised precision oriented operation. 15.2 Opinion of DGTD is sought to be discarded by the lower authorities on the ground that it is merely a recommendation to change the existing entry at S. No. 2 in Notification 40/78. It is argued by the learned SDR that so long as entry at S. No. 2 in Notification 40/78 remains unchanged opinion of DGTD is not of any consequence. Law has to be interpret....
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....- (S.L.Peeran) Member (J) [Order per : Harish Chander, President]. - I have perused the order written by my learned brothers, Shri P.C. Jain, Member Technical and Shri S.L. Peeran, Member Judicial. The following point of difference has been referred to me : Whether in the facts and circumstances of the case the imported goods are entitled to the benefit of S. No. 2 of the Table to Notification 40/78, dated 1-3-1978? My both learned brothers have narrated the facts extensively in their orders and as such, I need not reproduce the same. 17. Shri V. Sridharan, the learned advocate had appeared on behalf of the appellant. He pleaded that the appellant had imported jig boring machine model 2E470A (tool room precision co-ordinate jig boring machine with or without numerical control) and the assessment has been made under Heading 8459.39. He further argued that the appellant had claimed the benefit of Notification No. 40/78-Cus., dated 1st March, 1978 vide Serial No. 2 appearing in the notification and this benefit has been denied by the lower authorities. Description in the notification at Serial No. 2 is "Tool Room Precision Co-ordinate Jig Boring Machine with or ....
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....21 it describes 2E170 jig boring machine working surface of table 1.400 x 2.240 mm. travel : table 2.000 mm, spindle head (cross travel) 1.400 mm. Distance : spindle face to table 1.400 mm. Boring capacity 250 mm. Shri Sridharan referred to volume No. 60 of Stankoimport Review internal page 9 which appears on page 155 of the paper book and on this page there is a description of 2E470A jig bore is produced by the Sverdlov Machine Tool Building Amalgamation in Leningard. He also referred to volume No. 61 of Stankoimport Review appearing on pages 155 to 156 and on page 156 internal page 28 of the journal again there is a description as : "Excellent performance of the Soviet machine over a long period of time influenced by the decision of Dixi S.A. to purchase a heavy jig borer of Soviet make. The Sverdlov Machine Tool Building Amalgamation in Leningard was chosen as the manufacturer. The machine, a 2E470A heavy double-column jig borer (work table surface 1.400 by 2.240 mm) is to be delivered to Dixi S.A. under a contract signed by V/O Stankoimport and its commercial agent M. Und D. Gertner." He referred to volume 73 of the same journal on pages 159 and 160 of the paper book. On page 1....
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....straight-shank spotting tools, drills, and reamers. A setscrew in the collet is tightened against a flat on the tool shank, providing a positive grip, which eliminates twisting and scuffing of the tool shank. BORING Single-point boring, the most accurate method of attaining locational accuracy in jig boring, makes it necessary to have a wide variety of boring tools. The most commonly used boring tools are a solid boring bar, a swivel block boring chuck, an offset boring chuck, and a DeVlieg microbore boring bar." On page 129 Unit 72 relates to jig-boring holes. Pages 121 and 122 of the paper book relates to versatile machines. He referred to pages 143 and 144 of the paper book "Machine Tools" by N. Chernov which gives the description of jig borers. He also referred to pages 148 and 149 of the paper book "Machine Tool Design" by N. Lisitsyn, A. Gavryushin, O. Trifonov, A. Kudry Ashov, General Editor N. Achkerkan, D. Sc. (Eng.) translated from the Russian by Nicholas Weinstein. He referred to para 22.1 of the book which describes jig borers as under :- "Jig borers are used to machine holes which must be located with a high degree of accuracy in reference to the datum surf....
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.... the Member Technical is correct and the same should be followed. 18. Shri B.K. Singh, the learned SDR relies on the Member Judicial's order. He referred to page 32 of the paper book. There the description of the machine 2E470A is given as under :- "The 2E470A machine is a general purpose machine-tool having two spindle heads (Vertical and horizontal). It differs from the 2E460A machine by its basic parameters. The table working surface is 1.400x 2240 mm (width and length). Mass of the machine is 32.500 kg." He pleaded that model 2E470A was imported by the appellant. That is a general purpose machine. He referred to pages 140,141,149,123,163 and 129 of the paper book. He also referred to page 97 of the paper which is a certificate issued by Central Machine Tool Institute, Bangalore. He referred to the letter dated 1st February, 1989 written by Shri D.M. Malik, Industrial Adviser to Shri Vishwanathan, Collector of Customs, Bombay which appears on pages 74 and 75 of the paper book. Shri Singh referred to the decision in the case of Batliboi & Co. Ltd. v. Collector of Customs, reported in 1987 (32) E.L.T. 118. He argued that in the decision HMT of the Bombay High Cour....
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....iety of other configurations. Tooling can be designed for the boring of blind holes, holes with "bottle" configurations, circular-contoured cavities, and bores with numerous steps, undercuts and counter-bores. The process is not limited by length-to-diameter ratio of holes; with the workpiece properly supported, holes having diameters that exceed length (or vice versa) by a factor of 50 or more have been successfully bored. Boring is sometimes used after drilling, to provide drilled holes with greater dimensional accuracy or improved finish. It is more widely used, however, for finishing holes too large to be produced economically by drilling, such as large cored holes in castings or ........ pierced holes in forgings. In many applications, boring is done in conjuction with turning, facing or other machining operations. The scope of this article is limited to applications in which boring is the sole operation or in which it is the major operation in a machining sequence." A perusal of the same shows that boring is sometimes used after drilling to provide drilled holes with greater dimensional accuracy or improved finish. Thus drilling itself is the principal function. For the....