2017 (3) TMI 718

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....', under heading 5505.20 of First Schedule to the Central Excise Tariff Act, 1985 and demanding differential duty of Rs. 2,44,788/- for the period from April 1992 to July 1996, with interest thereon, besides imposing penalty of Rs. 2,44,788/- under rule 173Q(1) and rule 209A of Central Excise Rules, 1944. 2. This is the second visit of the dispute to the Tribunal; on the former occasion, the appeal, at the behest of Revenue which claimed to be aggrieved by the order of the Commissioner of Central Excise directing the Assistant Commissioner to ascertain the length of the fibre and to determine the classification thereafter, succeeded with the decision of the Tribunal, in order no. A-230/WZB/2004/C-III dated 5^th May 2004, to remand it bac....

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.... to the Central Excise Tariff Act, 1985 was made by placing reliance on the meaning of 'flock' and 'neps', that revision of classification without ascertainment of length of fibre is not tenable, that the test conducted by the Deputy Chief Chemist did not determine length and hence had erred in classifying the goods under heading 5505.20 of the First Schedule to the Central Excise Tariff Act, 1985, that with their manufactured article classifiable under heading 5601 of the First Schedule to the Central Excise Tariff Act, 1985, waste cannot but lie within this heading as claimed by them, and that the description in heading 5601.20 of First Schedule to the Central Excise Tariff Act, 1985 matches the disputed item and hence precludes fitment w....

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....taining to waste covered under 5505. 9. We take note that 'flock', 'dust' and 'mill neps' are specifically covered in 5601.30; admittedly, 'fly waste' generated in the manufacturing process of the appellant is primarily fibre of viscose and polyester which will be within the meaning of 'flock' if it be less than 5 mm in length as claimed by appellant. Reliance placed in the impugned order to the various uses of 'flock' does not serve to sustain the rejection of the claim that the impugned goods are 'flock.' In the notes pertaining to 'flock' viz. '(B) Textile Fibres, not exceeding 5 mm in length (flock) and textile dust "Textile flock" consists of textile fibres not exceeding 5 mm in length (silk, wool, cotton, man-made fibres, etc....