TaxTMI 
TaxTMI 
2014 (9) TMI 737
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.... 2. Vide the impugned order, the learned adjudicating authority has dropped the duty demand proposed under show-cause notices dated 08/02/2008 and 16/12/2008. Vide these show-cause notices, duty demands of Rs. 2,34,81,983/- for the period January 2003 to November 2007 and Rs. 3,87,575/- for the period December 2007 to September 2008 have been proposed. The ground alleged in the show-cause notices is that the activity of re-packing/re-labeling/re-fining of laboratory chemicals undertaken by the appellant in respect of Petroleum Benzine and Hexane for Chromatography Lichrosolv would amount to "manufacture" and the respondent was required to discharge excise duty liability on the activities undertaken by them. The adjudicating authority came t....
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....2 and the product manufactured by the appellant conforms to the specifications prescribed therein. He also relies on the decision of this Tribunal in the case of Alok Enterprises Vs. CCE, Mumbai- II - 2004 (178) ELT 550 (tri-Mum) wherein this Tribunal held that the process of purification, filtration and packing of acid amounts to manufacture as a new commodity as commercially understood has came into existence and therefore, the ratio of the said decision would apply in the facts of the present case. The said decision of this Tribunal was challenged before the Hon'ble High Court of Bombay [2010(259) ELT 333 (Bom)] and the Hon'ble Bombay High Court upheld the view taken by this Tribunal. The learned AR also relies on the Hon'ble....
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....acking of the goods and no purification process was undertaken and mere repacking from bulk pack to retail pack would not amount to 'manufacture'. He further argued that in respondent's own case this matter has been examined earlier and the duty demands were dropped vide Order-in-Appeal No. PCJ/536.BOM-III/94 dated 26/09/1994 and the said decision was upheld by this tribunal vide final order No.995/98-C dated 12/10/1998. Therefore, the order of the lower appellate authority is sustainable in law. In any case, the department was well aware of the activity undertaken by the respondent and therefore, the question of invoking the extended period of time would not arise at all. He further submitted that if the activity undertaken by ....
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.... a flow chart of the activities undertaken by them. A perusal of the flow chart clearly shows that the Hexane raw materials and petroleum ether 60.80 are charged into a reactor and thereafter, concentrated sulphuric acid is added and stirred and the mixture is left for 4 to 5 hours room temperature. After stirring is complete, the acid is drained and the absence of acid layer is checked. Thereafter Ph value of the material is checked till it reaches 7 or sodium carbonate washing is done so as to reach the Ph value of S7. After removal of the acid, the material is treated with AQ sodium Carbonate to remove 100% acid. Similarly in the letter dated 31/01/2008, the manufacturing process of petroleum benzene 60-80 Grand Hexanes chromatography gr....
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....ertaken by the appellant amounts to 'manufacture' as defined in Section 2 (f) of the Central Excise & Salt Act, 1944. The criteria of 'manufacture' is whether after the process is undertaken, a new product having a distinct name, character or use has emerged or not. If a new product emerges, then the process would amount to "manufacture". The decision of the Hon'ble apex Court in the case of Pio Food Packers [1980 (6) ELT 343 (SC) and Empire Industries Ltd. [1985 (20) ELT 179 (SC)] support these views. The ratio of the decision of this Tribunal in the case of Alok Enterprises affirmed by the Hon'ble Bombay High Court also would apply to the facts of the present case. Therefore, in the present case also, we are of the....