2010 (10) TMI 948

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....Whether the Tribunal was justified in holding that the drawing of ribbed bar from iron scrap amounted to manufacture when the dealer got the process done by others? (ii) Whether the Tribunal was justified in relying upon a decision of the Tribunal dated November 22, 1991 in Appeal No. 111-III/89 which is actually the opinion of only one Member of the Division Bench?" The relevant facts, in a nutshell, are that for the period of assessment, i.e., October 25, 1984 to October 12, 1985 and November 3, 1986 to October 22, 1987 the non-applicant/assessee claimed exemption of purchase tax on purchase of M.S. scrap as it was converted into ribbed bar by some other party. It was found by the assessing officer that the assessee did not have any mac....

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....to logs, poles or ballies or any other articles of wood, but does not include such manufactures or manufacturing processes as may be notified." In Ashirwad Ispat Udyog [1999] 112 STC 207 (SC), in the facts of the case that the State Government issued a notification on October 16, 1986 under section 12 of the Act, 1958 granting exemption to dealers, who were registered under the Act, 1958 and had established eligible industrial units in any district in the State and held a provisional or permanent eligibility certificate issued by an officer authorised for the purpose, from payment of tax to the extent stated therein and that under the terms of the said notification the appellants obtained eligibility certificates from the District Level Co....

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....own by mechanical processes into pieces that may be conveniently utilised in rolling mills and foundries. Such treatment, making saleable goods, would, in our opinion, fall within the wide definition of 'manufacture' under section 2(j) of the said Act." The learned counsel appearing for the applicant does not dispute the above-stated settled position of law. Whether "manufacture" process was done by the assessee or it was got done by other agency, the process itself comes within the definition of "manufacture", as aforestated. There is no material, further, to examine the facts as to whether the other agency was within the control of the assessee or outside the unit, independently. We are examining the issue as to whether the proc....