2008 (6) TMI 138

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.... for the Respondent. [Order per: K.K. Agarwal, Member (T)]. - Brief facts of the case are that the appellants were issued a show cause notices demanding duty amounting to Rs. 84,698/- on dies alleged to have been manufactured by them, which is made of hollow pipes machined and end plates which are capped and removed as and when pouring is required to be done for manufacture of castings in the fac....

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....he design of castings and the end plates which are fitted on the hollow pipes only to prevent molten metal from pouring out. Every time the casting is made, the end plate has to be removed, the molten metal is poured and then the end plate is fitted. Therefore, such activity of fitting the end plate cannot be considered as amounting to manufacture of dies. 3. In the alternative it was submitted t....

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....would come down to Rs. 1,27,795/- as against 2,25,783/- demanded and confirmed against them. The interest and penalty imposed under Sections 11AB and 11AC also do not survive. 5. Ld. DR reiterates the findings of the Commissioner, holding that the die comes into existence at the appellant's premises and scrap was removed without accountal and also submitted that the plea of modvatable and non-mod....

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....ame the demand of Rs. 84,698/- as well as penalty of Rs. 84,698/- in respect of such dies is set aside. 8. As regards shortage of scrap, we find that the appellants have admitted liability of Rs. 1,27,696/- before the Commissioner (Appeals) and submitted Chartered Accountant's Certificate showing the proportion of modvatable and non-modvatable inputs received by them. We further note that the app....