Customs, Excise and Gold Tribunal - Delhi
Dewas Metal Industries vs Collector Of Central Excise on 13 September, 2000
Equivalent citations: 2000(122)ELT76(TRI-DEL)
ORDER V.K. Agrawal, Member (T)
1. These are four appeals arising out of two Orders-in-Appeal Nos. 827/94, dated 19.12.1994 and 421/94, dated 15.06.1994. Two appeals have been filed by M/s. Dewas Metal Section Pvt. Ltd. and two appeals have been filed by the Revenue respectively.
2. We heard Shri Pradeep Jain, Id. Advocate along with Shri Mahendra Chaturvedi, Representative of Assessee, and Shri S.P. Rao, Id. DR.
3. We have considered the submissions of both the sides. M/s. De-was Metal Section (P) Ltd. manufacture angles, shapes and sections which were classified by them under Heading 7216.00 of the Schedule to the Central Excise Tariff Act. These goods have been classified under sub-heading 7308.90 as parts of shutters and under Heading 87.08 as Motor Vehicle parts by the Department. The classification of the impugned products is no more res Integra as it has been settled by the Larger Bench of the Appellate Tribunal is the case of Press Metal Corporation Ltd. v. CCE, Mumbai, 2000 (119) E.L.T. 217. The Larger Bench of the Tribunal held, in this case, that angles, shapes and sections, manufactured by Cold formed or Cold finished method not further worked upon are classifiable under Heading 72.10 prior to 01.03.1998 and under sub-heading 7216.20 after 01.03.1998. It has not been disputed by the Revenue that the angles, shapes and sections manufactured by the Assessee are by process of cold finished methods and not further worked upon. Following the ratio of the decision of the Larger Bench, they are to be classified under sub-heading 7216.20 Accordingly both the Appeal Nos. E/2031/94-B and E/501/95-B filed by the Revenue are rejected.
4. During the process of manufacture of angles, shapes and sections, the Coils purchased are slitted into different widths for roll forming of specific sections. The slitted material is passed longitudinally through successive pairs of rolls, each pair of roll progressively forming the metal section until the finish cross-section is achieved. During the process of manufacture small pieces are generated which were classified by the Assessee as waste and scrap under Heading 72.04 of the Tariff whereas the Revenue has classified them under Heading 7208.39 as strips and under sub-heading 7208.40 as skelp. The Id. Advocate for the assessee submitted that the issue regarding classification of such off-cuts has been settled by the Supreme Court in the case of LML Ltd. v. CCE, Kanpur - 1997 (94) E.L.T. 273 (S.C.) In this case Supreme Court held that the off-cuts of steel sheets are not classifiable as steel sheets. Such off-cuts are classifiable under Heading 72.10 (now 72.16) of the Tariff as shapes and angles. Following the ratio of this decision, the off-cuts cannot be classified as strips or skelp and they would be classifiable as shapes falling under Heading 72.16. Accordingly two Appeal Nos. E/2056/94-B and E/634/95-B filed by the assessee are disposed of in the above mentioned terms.