1995 (5) TMI 147

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.... However, the assessment was revised and the products were held classifiable by the Assistant Collector under Heading 84.63(1). The appellants had contended before the Collector that the reclassification cannot be done by issue of notice under Section 142 of Customs Act, 1962 as the notice under Section 142 is a recovery proceedings. The department was required to issue a notice of short levy only under Section 28 of the Customs Act which had not been done within 6 months from the date of assessment and payment of duty and hence the proceedings itself was bad in law. The Bill of Entry had been assessed on 19-1-1984 and duty paid as per the assessment and, therefore, the revised classification by issue of show cause notice under Section 142 ....

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....tted that they had obtained a certificate from the Ministry of Commerce, Department of Textiles, which had certified that the Wharve is an integral part of all types of Jute Spinning Frame & Flyer Twisting Frame and technically it cannot be termed as pulley. Therefore, he submitted that the original assessment done by the authorities is correct in law as the same is required to be assessed under Heading 84.38(1) is flyer as parts of flyer and it cannot be classifiable under Heading 84.63(1) at all. He submitted that the Wharves are specially designed parts of twisting frame and silver spinning frame having their function to impart necessary twist in the yarn along with the Flyers. Their function is not transmitting power but to give twist a....

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....n integral part of all types of Jute Spinning Frame & Flayed Twisting Frame and technically it cannot be termed as pulley". The case is proceeded on the basis that the item is a pulley and it cannot be classified under 84.38. The Headings 84.37, 84.38 and 84.63 reads as follows :- "84.37 Weaving machines, knitting machines and machines for making gimped yarn, tulle, lace, embroidery trimmings, braid or net: machines for preparing yarns for use on such machines, including warping and warp sizing machines :     (1) Not elsewhere specified  40%   (2) Domestic knitting machines; for making gimped yarn, tulle, lace, embroidery, trimmings; braid or net.  60% 84.38 Auxiliary machinery for u....