1999 (6) TMI 163

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....and P.K. Das, Advocates, for the Appellants. Shri R.K. Roy, JDR, for the Respondent. [Order per : P.C. Jain, Vice President]. - Learned Advocate Shri Amalendu Chakraborty prays for waiver of pre-deposit of Rs. 52,35,225.26 demanded as duty for the period 1-4-1991 to 31-8-1996 on converting unmanufactured tobacco leaves into tobacco powder/granules by the process of cutting machine i.e. ch....

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....it has been held that powdering of unmanufactured tobacco by crushing or grinding is not an activity of manufacture and therefore, no duty liability is involved. He further submits that this judgment of the Tribunal has been approved by the Apex Court inasmuch as the Revenue's appeal against the said judgment has been dismissed as reported in 1998 (104) E.L.T. A136-A137. He therefore, prays for al....

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.... that the Revenue has essentially relied upon the Chapter Note 2 of Chapter 24 which states that any process taken rendering the product marketable to consumer in relation to the product falling under Tariff Heading 24.01 shall amount to a process of manufacture. He submits that admittedly the applicants herein have undertaken the process of chopping the tobacco into smaller pieces which renders t....