1996 (10) TMI 306

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....ling under erstwhile Central Excise Tariff Item No. 49 up to 28-2-1986 and thereafter under Heading 84.82 of the Schedule to the CETA, 1985. The rolling bearings manufactured were assessable to duty on the basis of the value. At the point of clearance proper Central Excise duty was levied and collected. Some of the goods were returned by the customers and the appellants brought such duty paid goods in their factory under the provisions of Rule 173H of the Rules. After reconditioning, repair etc. such rolling bearings were removed to the buyers other than those who had returned the goods. It was noticed that in some cases the price charged from the new buyers was higher than the buyers at which the goods were sold to the original buyers. Und....

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....ived back as rejected under Rule 173H of the Rules. Under Rule 173H the assessee may, subject to such conditions as may be specified by the Collector, bring into his factory the goods whether manufactured in his factory or in any other factory, on which duty had been paid if such goods need to be re-made, refined, re-conditioned, repaired or subjected to any similar process in the factory. In sub-rule (2) of the said Rule 173H it is provided that the goods brought into the factory may, if not subjected to any process amounting to manufacture, be removed from the factory without payment of duty subject to such conditions as may be specified by the Collector. In case the process undertaken amount to the process of manufacture then the provisi....