1998 (10) TMI 124

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.... 1.2 Anhydrous Ammonia is meant for manufacture of other Chemical fertilizers viz. Urea, Ammonium Sulphate, Ammonium Sulphate Phosphate, Diammonium Phosphate and Caprolactam and the balance of Anhydrous Ammonia is meant for commercial sale. 1.3 The A-I Plant is so designed as to take as feed stock only gas or only Naphtha, or mixture of gas and Naphtha in any proportion. They primarily consume gas in this plant for production of Anhydrous Ammonia. However, when gas is not available in required quantities as feed stock, the Appellant supplement it by raw Naphtha. Anhydrous Ammonia produced from gas and that produced from raw Naphtha are identical and indistinguishable. But quantities of Anhydrous Ammonia produced from gas and ....

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....ellants by their letter No. MD/101 (36) 2012, dated 20-7-1972 requested the Secretary, Department of Revenue to declare their premises as a refinery under the provisions of the Central Excise Rules. The Government of India by Order F. No. 261/14HH/10/73 CX. 8, dated 23-7-1973 declared the Appellants' premises as a refinery in relation to Raw Naphtha falling under erstwhile Tariff Item 6. At the relevant period, the Appellants wanted to avail concessional rate applicable to Raw Naphtha when used in the production of petrochemicals namely, Ammonia. The said Notification was superseded on 30-8-1975 by Notification No. 190/75-C.E., dated 30-8-1975. The Appellants availed and continue to avail exemption under Notification No. 190/75-C.E., dated ....

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....ent of India declaring appellants' premises as a "Refinery" stood terminated automatically or lapsed due to its non-use. He has ignored the fact that the appellants were availing benefit of Notification No. 190/75-C.E., dated 30th August, 1975 from the date of its issue and the question of its non-use did not arise. 1.12 The interpretation of Rule 140 and of Notification No. 276/67 done by the ld. Assistant Collector, is totally erroneous. 1.13 Notification No. 276/67 is not applicable to conventional refinery wherein refining of crude petroleum or shale or blending of non-duty paid petroleum products is carried on but is applicable only to the premises which are declared under sub-rule (2) of Rule 140. 1.14 Appellan....