2012 (11) TMI 644

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.....R) for respondent Per : S.S. Kang   Heard both sides. 2. The appellant filed this appeal against the impugned order passed by the Commissioner (Appeals). Vide impugned order the benefit of Notification No. 14/2002 dated 1.3.2002 was denied in respect of grey processed fabric on the ground that as the cotton yarn was cleared under Notification No. 22/96-CE dated 23.7.1996. We find th....

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.... issue revolves around the interpretation of Conditions no. 2 & 5 which read as under:-   2. If made from textile yarns on which the appropriate duty of excise leviable under the First Schedule or the Second Schedule to the said Central Excise Tariff Act read with any notification for the time being in force or the additional duty of Customs leviable under Section 3 of the Customs Tariff A....

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....n on the ground that the fabrics have been manufactured in continuous process from the spinning stage and hence no duty has been paid on the base fabric or the yarn.   2. On the other hand, it is the contention of the appellants that such captive consumption has been exempted under Notification no. 22/96-C.E., dated 23-7-1996 and hence the appropriate duty required to be paid under the afo....

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.... at all convincing. The appellants have also brought to our notice that in the case of other manufacturers, similarly situated, other Commissioners have allowed the duty benefit under Notification no. 14/2002-C.E. applying the aforesaid clarification issued by the C.B.E. & C. The adjudicating Commissioner has discarded the said orders saying that these decisions are not binding on her. She has ....