2008 (10) TMI 228

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....CPS) falling under chapter 38111.00. Respondent manufactures this product out of waste filter cake of detergent plant arising in the plant of Lubrizol India Ltd. M/s. Lubrizol India Ltd., supply this waste filter cake free of cost to respondent. Respondent under a contract with Lubrizol India Ltd., has to recover Calcium petroleum Sulphonate from waste filter cake and supply the same to Lubrizol India Ltd., on payment of duty on the assessable value declared. Excise authorities after investigations came to the conclusion that there is mis-declaration of assessable value, as respondent has not included the cost of Waste Filter Cake while declaring the assessable value of the Calcium Petroleum Sulphonate. Adjudicating authority after consider....

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....nal be upheld. 4. Ld. Counsel on the other hand submits that the issue of addition of value of waste filter cake does not arise in this case. He would submit it is decided by tribunal that waste filter cake is held to be non-excisable by tribunal in the case of Lubrizol India Ltd. It is the submission that value that is sought to be added is erroneous as the declaration filed by the respondent is under Rule 6(b)(ii) of the erstwhile Central Excise Rules, 1944. He would in the alternative submit that the recovery of CPS in itself is not amounting to manufacture. Hence the value arrived for CPS is correct. We have considered the submissions made in detail by both sides and perused the records. It is undisputed that Lubrizol India Ltd. s....

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....rice determined in the Purchase Order. The transaction was on principal basis and it was not a job work. (ii) The OIO No. 35/2000-Commr-VI dated 30-5-2000 passed by the Commissioner of Central Excise, Mumbai-VI was set aside by the Hon'ble Tribunal vide their Order No. CI/3806/WZB/2001 dated 13-12-2001 relying upon the Larger Bench decision of the Hon'ble Tribunal in the case of Markfed Vanaspati & Allied Industries v. CCE Chandigarh 2000 (116) E.L.T. 204 (T-LB) holding that the spent earth was not dutiable, hence the sale value of WFC fixed by the Commissioner of Central Excise, Mumbai-VI. (iii) As all the material facts were revealed to the Range Supdt. vide appellant's letter dated 12-7-1995 & 29-1-1997 in which CL & Price Declarat....