2008 (2) TMI 35

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....].-1. This appeal has been filed by the Revenue under Section 35L(b) of the Central Excise Act, 1944 (for short, 'the Act') against the Final Order No.90/2002-A dated 27th February 2002 in Appeal No.E/881/2001-A passed by the Customs, Excise & Gold (Control) Appellate Tribunal wherein and whereunder the Tribunal has reversed the order-in-original of the Commissioner dated 02nd February 200....

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.... yarn would be chargeable to Basic Excise Duty (BED) and Additional Excise Duty (AED), if the same was manufactured out of duty paid yarn.  4. According to the Revenue the grey textured yarn is used captively in the manufacture of dyed yarn and the assessee had undervalued the price of the grey textured yarn by deducting certain amount claimed to be the dyeing charges from the price of the....

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....) of Rule 9 of Central Excise Rules, 1944 read with Section 11A of the Act. 6. The adjudicating authority, by the order in original dated 02^nd February 2001 confirmed the demand.  Aggrieved against the said order, the respondent filed an appeal before the Tribunal which was accepted by the impugned order. 7. The Tribunal, by the impugned order, has held that the assessee was selling a ....

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....e in terms of Section 4(1)(a) of the Act was available in the form of sale at the factory gate, the price of the goods consumed captively had to be based on the sale price of the goods to unrelated buyers at the factory gate.  9. The question in the present case is whether the assessee had undervalued the textured yarn consumed captively in the manufacture of dyed yarn.  10. The as....