1995 (11) TMI 214

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.... produced in lndia has been exempted from payment of duty and no additional duty is leviable on the imported goods. This claim has been rejected by the Asstt. Collector. On appeal filed by the party, the Collector (Appeals) has accepted the contentions of the party while allowing the appeal. The main plea put forth by the appellants before the Collector (Appeals) is that these types of scraps are not manufactured articles and therefore did not come within the purview of the Central Excise duty. It was also explained by them that persons who are gathering, sorting and grading worn out used materials such as these do not require Central Excise Licence and their product cannot attract Central Excise duty. 3. Shri G.D. Sharma, ld. JDR a....

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....sed, worn out, obsolete and scrap items. Thus they cannot be held as goods manufactured as a result of transformation which means that the resultant product emerges from a raw material into an intermediate or finished product . This finding at page 4 of the impugned order is relevant and the same is reproduced under : In the present case, goods namely brass waste/scrap are mere collections of used, worn-out, obsolete and scrap items. Thus they cannot be held as goods manufactured as a result of transformation which means that the resultant product emerges from a raw material into an intermediate or finished product. Further there is no deliberate effort resulting in generation of these scrap by way of treatment of labour, capital or mani....