2000 (7) TMI 321

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....bica Sugars Limited for erection of a 70 tonnes per hour capacity bagasse fired steam boiler; that the erection contract was given to sub-contractor of the applicant; that the department alleged that the boiler erected at site was goods; that the applicant was the manufacturer and since it was goods, the department demanded Rs. 76,81,542.00 as duty and imposed equal amount of statutory penalty. 3. Ld.Counsel submits that the boiler was not 'goods', looking to the size and its erection. He submits that the boiler was embedded to the earth and, therefore was not 'goods' for the purpose of levy and collection of duty. He submits that even if the boiler is considered as goods, it was using bagasse (agricultural waste) for producing heat....

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....s [2000 (36) RLT 619], Thermax Surface Coating [1999 (35) RLT 640] and 2000 (91) ECR 68 cases. He submits further that even if all the submissions are not acceptable and the duty becomes payable on generator, M/s. Shree Ambica Sugars Limited shall become immediately eligible to take Modvat credit and, therefore, the entire exercise is revenue neutral. He submits that therefore from whichever angle the position is looked at and examined, the duty was not payable in terms of the submissions and if the duty was at all payable it was revenue neutral. He, therefore, prays that the stay petition may be allowed. 5. Opposing the request for waiver of pre-deposit of duty and penalty, Shri R.D. Negi, ld. SDR submits that the boiler in questio....