2002 (8) TMI 487

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.... 72 of the Schedule to the Central Excise Tariff Act, 1985, They use copper moulds for casting steel. In making these copper moulds, copper plates are used. The copper plates are subjected to processes like turning, boring etc. in order to make them suitable for manufacture of a mould. Certain scrap arises during this process of turning and boring. Whether scrap arising out of broken moulds is dutiable or not is an issue to be considered herein. 2. Shri Shivadass, appearing for the appellants submitted that the very issue has been considered by the Tribunal in a series of cases. He referred to the following cases :- (a)     Hyderabad Industries Ltd. v. Union of India - 1995 (78) E.L.T. 641 (S.C.) (b) &....

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.... that the appellants had sold the condemned old machinery on as is where is basis. Therefore, no dismantling of the machinery, leading to generation of scrap was carried out by the appellant. The dismantling and removal of scrap were carried out by the buyers of condemned machinery. Further, dismantling of machines is not a process of manufacture leading to emergence of new goods. The ld. Counsel for the appellants also referred to the decision of this Tribunal in the case of Diesel Component Works, Patiala v. CCE, Chandigarh [2000 (120) E.L.T. 648 (T) = 2000 (40) RLT 641] that scrap arising in the dismantling of old railway engines was not liable to duty. For these reasons, the appellants have contended that demand of duty in respect of sc....