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This terminology of iron ore Lump (types of ROM) has also been recognised in the Mineral Year Book being published by IBM every year, wherein grade wise reserves/resources of iron ore (Hematite) in India is estimated.

(iii) Calibrated Lump Ore (CLO) This category of lump ore is obtained after processing/crushing of ROM iron ore into crusher plant and ranges in size from 5 mm to 40 mm, which has commercial value and is the raw material for DRI plant for Steel making.

(iv) Fines Fines are produced during drilling and blasting operations and are a part of ROM. Further fines are produced when ROM is processed to produce CLO by the process of crushing and screening (together termed as processing). Fines serve as raw material for Sinter plant or pellet plant used for steel making.

responsibility of the mining companies. He submitted that the said details given approximately in the report thus were in different context and no conclusion as regards the under charging of sales price can be drawn on the basis of the same.

13. The Ld. Counsel for the assessee contended that the average sale price of Rs. 1371/- per ton given in the report for the entire State of Orissa was in respect of iron ore while the product sold by the assessee to JSPL was mother earth of iron ore called as "Runs Of Mines" (ROM) which is materially different from the iron ore. In this regard, he relied on the decision of Orissa High Court rendered in the case of the assessee in the context of value added tax [W.P. (C) No. 24421 of 2012 dated 26.04.2017] to submit that ROM which is otherwise called as mother earth of iron ore consisting of raw unprocessed ores in its natural state obtained after blasting or digging was excavated and handed over to M/s. JSPL. He submitted that the same consisting of large boulders, fragments and fines along with other contaminants/impurities then was crushed and downsized by JSPL in their crusher plant. After crushing and sizing in the screen, the Calibrated Lump Ore (CLO) is obtained and the same is further processed by way of washing and beneficiation so as to produce usable fines and slime material. He submitted that huge quantity of residuary mixed with low grade fines is generated in this entire process and on an average only 25% to 30% CLO i.e. iron ore was produced, while the rest 70% to 75% representing low grade fines had no market at all. He contended that the material sold by the assessee to JSPL i.e. ROM thus was entirely different from the iron ore I.T.A. No. 867/Kol/2017 Assessment Year: 2007-08 Sarda Mines Pvt. Ltd.

i.e. CLO and the allegation made by the Ld. Principal CIT of under charging of sales price by the assessee to JSPL on the basis of average selling rate of iron ore was totally baseless. He contended that this position was accepted by the Hon'ble Orissa High Court while deciding the issue in the context of value added tax and relief was also given to the assessee on that basis. He also relied on the decision of Panaji Bench of this Tribunal in the case of M/s. Velingkar Bros. (ITA No. 18/Pnj/2014 dated 30.05.2014 wherein the difference between ROM and processed iron ore was highlighted by the Tribunal in paragraph no 2.5 of its order and the case made out by the A.O. of under invoicing or under pricing was rejected.