2000 (4) TMI 312

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....eral Mills Ltd. is a public limited Company with its registered office at Ludhiana. They are engaged in the manufacture and sale of different varieties of yarn which are liable to Central Excise Duty. The manufacturing operations are carried out from different factories located at different town. The present appeal relates to manufacture of Dyed Yarn carried out in its Auro Dyeing Division Factory at Baddi, Solan Distt, Himachal Pradesh. 3. The show cause notice proposed duty demand on dyed yarn after denying the appellants, claim for exemption from Central Excise Duty on dyed yarn under Notification No. 35/95 and the valuation of "yarn". 4. The Commissioner held in the impugned adjudication order as under :- "(i)  t....

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....essable value for charging C.E. duty. ORDER 22. In view of above discussions & finding I hold that the demand show cause notices referred to above are not sustainable as exemptions benefit of notification No. 35/95-CE dated 16-3-95 as amended by 84/95 dated 18-5-95, 8/96-CE dated 23-7-96, 4/97-CE dated 27-6-97 cannot be denied to the noticee, therefore, I drop the proceedings against the noticee. 23. However, proceedings for demand of differential duty should be initiated by the Range Officer, Central Excise Range, Baddi in respect of amount of differential duty from that of grey yarn and dyed yarn which is sold at a much higher rate." 5. The grievance of the appellant is directed against the direction contained i....

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....der 35/95. He also submitted that the direction in para 23 of the order cast no additional duty liability on the appellants. It was only a direction to the jurisdictional Central Excise Officers to examine the issue relating to correct valuation of the yarn. He, therefore, submitted that the appeals are not maintainable. 7. We have perused the records and have considered the submissions made by both sides. We find that the show cause notice in addition to proposing the denial of exemption under Notification No. 35/95, also mentioned that "the prices charged at Depots for sale of dyed yarn should be treated as assessable value for charging duty." Therefore, the direction in para 23 is with reference to a specific point raised in the ....