TaxTMI 
TaxTMI 
2004 (7) TMI 529
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.... Mumbai-I decided 27 Show Cause Notices on the duty demands made on different assessees issued to recover excise duty on ferrous and non-ferrous scrap resulting from breaking of ships in Mumbai. 3. The Commissioner, after considering the replies of the Respondents found : (i) "The ship breaking activity includes the activities of dismantling, breaking and cutting the ship which results in production of the ferrous and non-ferrous scrap of iron and steel copper/brass, lead, tin and aluminium etc. Thus the ship breaking activity amounts to manufacture under Section 2(f) of Central Excises & Salt Act, 1944. The resultant scrap arising during this process will have to discharge appropriate rate of duty under....
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....p; Central Board of Excise & Customs order/instructions vide letter dated 6-4-1989 issued to Collector of Central Excise, Rajkot were not available to the appellants herein as they were not parties to the writ petition filed before the Hon'ble Gujarat High Court. Therefore, the drawing of demands prior to the period from the issue of Notification 386/86, dated 20-8-1986 could not be effected in this case. (iv) All the units were under SRP and classification lists filed were vague and in spite of directions to file proper classification lists, and payment of duty, there was a deliberate disregard to the liability and therefore the proviso to Section 11A(1) of the Act correctly invoked. (v) As regar....
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....n of India. In their submission, they had mentioned two ships namely M.T. Lajpat Rai & M.V. Navi Star. However, they have submitted the photocopies only in respect of M.T. Lajpat Rai. The duty demand in respect of ship M.T. Lajpat Rai is said to have been paid on 25-5-85 and the concerned Asstt. Commissioner had given no objection to allow the vessel at the bleaching yard on 27-5-85. It is clear the party could have undertaking the ship breaking job on the ship earliest some time by June 1985 or so, whereas the instant Show Cause Notice demanding an amount of Rs. 17,79,641.45 has been demanded for the clearance of scrap during the period 17-3-85 to 2-12-85. The party has miserably failed to show any proof of payment of duty in regard to the....
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....Union of India, following orders were passed : "The petitioner herein applies for the aforesaid petition being withdrawn pursuant to the agreement reached between the parties hereto regarding levy of central excise duty on ship scrap. 1. The respondents agree that they shall not cause enforcement of the personal bonds/security/surety executed by the petitioner in respect of 75% excise liability and allow the undertaking to be revoked. 2. Upon withdrawal of the court case, Government would consider an appropriate amount of reduction in excise duty on ship scrap and p....
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....ng effect to term (3) of the consent order has been engaging the attention of the Government with a view to devising a suitable mechanism for waiving of the arrears of duty on ship-scrap for the past period. It has been decided to waive the duty on ship-scrap leviable under erstwhile T.I. 25, or Chapter 72 or 73 of the Central Excise Tariff Act, 1975, for the period prior to the issue of Notification No. 386/86-Central Excises, dated the 20th August, 1986. Accordingly, the show cause notices and the confirmed demand notices may be withdrawn in these cases." (d) In view of these instructions issued, no duty could be confirmed on demands made earlier to 20-8-1986 and even confirmed demands, the duty was ordered to be waived....