TaxTMI 
TaxTMI 
2014 (7) TMI 975
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....s), Central Excise, Jalandhar. Waiver of pre-deposit had been granted in respect of both these appeals vide Stay Order No. ST/178-179/2009 by CESTAT, Delhi. 2. The facts, briefly stated, are as under : The Appellant is providing to the sugar Factories at Shamli and Muzaffarnagar, the services by way of loading, unloading and shifting of sugar bags from the floor of mill house to godown, from one godown to another or as desired by their client, to move or 'handle the goods'. The said Order-in-Appeal upheld the Orders-in-Original No. 11/ST/CE/JC/2008 dated 24.3.2008 and 12/ST/CE/GC/2008 dated 24.3.2008 in terms of which the Appellants activity was held to be covered under the scope of cargo handling service. As a result, vide Order-in-....
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....; (1) I confirm demand of service tax amounting to Rs. 18,54,752/- and order the same to be paid with interest under Section 73 & 75 respectively of the Service Tax Act. (2) I impose penalty of Rs. 500/- on the party under section 75A of the Service Tax Act. (3) I impose penalty of Rs. 200/- per day till the date of deposit of Service Tax, under Section 76 of the service Act, subject to that the amount of the such penalty payable shall not exceed the total amount of service tax due. (4) I impose penalty of Rs. 1000/- under Section 77 of the Service Tax Act. (5) I impose p....
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....e of Gaytri Construction Co. Vs. CCE, Jaipur - 2012 (25) STR 259 (Tri.-Del.). 4. The ld. A.R. fairly conceded that the activities of the Appellants within the factory would not amount to cargo handling as has been held in several judicial pronouncements referred to earlier. He added that on careful scrutiny of the contract, a small part of their activity mentioned at Sr. No. 4 of the 'rates for sugar handling and allied jobs of sugar godown' namely 'loading of sugar in trucks for despatch by rail' could be covered under cargo handling but he conceded that they do not have separate figures for various activities (19 in total listed in the said rate list). 5. We have considered the submissions of both sides. 6. The main, rather, the ....
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.... of mill house to godown, from one godown to another. This activity does not fit in the definition of cargo handling service. Revenues contention that respondent is engaged in loading of bags in truck is without any basis. Accordingly we do not find any merit in appeal and reject the appeal. In the case of CCE, Ranchi Vs. Modi Construction Co. the Hon'ble Jharkhand High Court has held as under: We have given our considered opinion to the submission of the learned counsel. As per sub-section 23 of Section 65 of the Act, cargo handling service means loading, unloading, packing or unpacking of cargo. This definition does not in any way can be considered to cover ha....
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.... ST/A/65/2012-CU-DB dated 18.01.2012. We also take note of the latest order of the Division Bench in the case of CC & C.Ex., Meerut-I Vs. Omprakash in Appeal No. ST/276/2009 wherein identical issue was considered and vide its final order No. 51285/2014 dated 28.03.2014, Revenue's appeal rejected. By following the above decision we find no merit in the present appeal and the same is accordingly, rejected. In the case of M/s. Coal Carriers vs. Commissioner of Central Excise, Custom & S.T. Bhubaneswar 2011 (24) STR 395 (Ori.) the Hon'ble Orissa High Court has also approvingly referred to cargo being the goods which are meant for transportation from one place to another by any mode of transport, adding that pre-transportation activities like....
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....e was a possibility of a small part of service involving manual loading of cargo into railway wagon being covered under the cargo handling servcie and the CESTAT, Delhi made the following observations : Therefore, essentially the present demand is for services use for transporting goods within the factory and also for manpower supplied for manual assistance at various points of loading system using conveyer system though there may be a small part of the service which may be in the nature of manual loading of cargo into railway wagons or trucks which may come within the meaning of 'Cargo Handling Service.' In the facts of the case the service', rendered by Appellants cannot be considered as Cargo Handling service in view of the decisions ....