2019 (5) TMI 1170

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....dvocate appearing on behalf of the appellants argued the matter at length and submitted the written note of submissions. It is submitted that the appellants have already obtained certificates dated 14.01.2010 from KVIC, certifying that during the material period, the appellants were manufacturing paper / paper board. It is also contended that the adjudicating authority had not examined that the Principal Process of lifting of pulp is done by hand, as evident from the manufacturing process. Further, it is also contended that the extended period of limitation would not be invoked in the circumstances of the case. 3. The learned A.R. appearing for Revenue has reiterated the findings recorded by the adjudicating authority. 4. Heard both s....

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....ing the pulp is done by hand", as mentioned in sub-heading No. 4802.20 (upto 27.02.2005) and in Notification No. 3/2005-CE dated 24.02.2005 (from 28.02.2005). The expressions "lifting the pulp is done by hand", if read with prefixed words "the Principal Process", it would make clear that lifting of the pulp by hand is required to be only on the Principal Process and not the entire process. In this context, if we look into the manufacturing process mentioned above, it would be noticed that the liquid with pulp fibres is the mixture of waste paper, waste paper tubes / coals and sludge pulp, which is pumped into a storage tank through pipe lines. The main process is the liquid with pulp fibres form layer on the cylinder moulds is transferred t....

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....e power operated Cylinder Mould Vat adopted by KVIC upto 40" fact, the mould rotates in a pulp suspension and a wet pulp layer (web) is carried forward by picking up felt and the wet pulp layer transferred over a sheet cutter roll from which the wet pulp layer sheets are lifted by hand i.e. sheet by sheet. The other process such as pressing, drying, calendaring, cutting, sorting etc., are one and the same as being adopted under Handmade Paper Industry from the beginning." 9. On close reading of the CBEC Circular and the letter of KVIC, it appears that the Principal Process can be described as lifting of pulp or lift of a wet sheet of paper. In the present case, we find from the manufacturing process that wet sheets are cut / slit and lif....