2007 (9) TMI 84

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....of the case are the respondents M/s. Shanti Textiles are engaged in the manufacture/processing of man made fabrics falling under chapter 54 and 55 and cleared the said fabrics on payment of duty. It came to the notice of the department that the respondents were also processing (viz, bleaching, dyeing, scouring, stentering etc.) and clearing embroided fabrics. The embroided fabrics were classified ....

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....dingly liable to pay duty. Accordingly a show cause notice was issued seeking to demand duty in respect of processed embroided fabrics which were manufactured and cleared without payment of duty by the respondents during the period 16-3-1995 to 10-8-1995 (embroidered fabrics became exempted with effect from 11-8-1995 vide Notification No. 106/95 dated 1 1-8-1995) amounting to Rs. 72,41,035/-. 3....

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....y the Board on the basis of opinion given by the Ministry of Law, a specific amendment was carried out whereby Chapter Note 8 was added to Chapter 58 and therefore earlier history is of no consequence, once an amendment has been made in the tariff itself. 5. The learned JDR also submits that though chapter Note 8 to chapter 58 has been held as inapplicable by the Larger Bench of this Tribunal i....

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....05 has held that chapter note 8 to chapter 58 does not apply to processing of embroidery on grey fabrics. A similar case has also been decided by the Tribunal in the case of Beauty Art Dyers & Cleaners Pvt. Ltd. v. CCE, Mumbai - 2006 (199) E.L.T. 85 (Tri.-Mum) where the Revenue's plea that after processing of embroided fabrics, same should be charged duty under chapters 52 and 54 has been rejected....