2007 (8) TMI 172

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.... the Commissioner of Central Excise demanded duty of over Rs. 62 lakhs from the appellants in respect of weld mesh (chain links) cleared to poultry farms during the period from 1-4-2001 to 18-12-2002. He also imposed equal amount of penalty on the assessee. 2.After examining the records and hearing both sides, we note that the above demand of duty is consequential to denial of the benefit of No....

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.... shall pay duty of excise leviable thereon but for the exemption contained in the Notification (No. 83/94-C.E.). In the present case, it is not in dispute that the chain links were specified for the purpose of SSI exemption and were manufactured by the appellants out of raw material supplied by poultry farms, as a job work. Again, it is not in dispute that the goods so supplied were used by the po....

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....ss did not take place in a "factory". Learned counsel for the appellants has submitted that, in terms of Section 2(e) of the Central Excise Act, any place where manufacture of excisable goods or any part of such process takes place is a factory and, therefore, where it is held that manufacture of cages from weld mesh supplied by the appellants was undertaken in the poultry farms, it is not open to....

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....the procedural ground that any undertaking of the poultry farmers was not produced before the Assistant Commissioner having jurisdiction over the appellant's factory. The Notification stipulated that the raw material-supplier should undertake to the proper officer having jurisdiction over the job worker's factory that the goods manufactured by the job worker and supplied to the raw material-suppli....