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a) The assessee had cleared software loaded in the Digital Switching Systems from their factory premises to the sites of BSNL/MTNL, collectively valued at Rs.31,79,01,546.00 during the period from 1st April 1998 to 31st May, 2000, without payment of duty amounting to Rs.5,09,76,529.00 under the cover of non-excisable invoices.
b) The assessee had also cleared certain items (such as Printer, PC Workstation, Modem, Cable Line, ISDN Telephone, Terminal Adapter which were bought to the premises of the unit) in the guise of as non-manufactured parts, valued at Rs.21,19,90,054.00 without payment of Central Excise duty amounting to Rs.3,43,67.490.00 in the period from 1st April 1998 to 31st May, 2000, under the cover of non-excisable invoices.
c) The other bought out items (such as Power Plant, Battery, Inverter, Main Distribution Frame and Digital Distribution Frame were supplied direct to the site of BSNL/MTNL), valued at Rs.66,25,64,092.00 were integral parts of the equipment manufactured by the assessee, but were cleared without payment of Central Excise duty amounting to Rs.10,66,34,203.10 during the period from 1st April 1998 to 31st May, 2002, under the cover of non-excisable invoices.

4. Revenue filed these appeals on the second issue, Whether dropping of demand of duty in respect of certain items such as Printer, PC Workstation, Modem, Cable Line, ISDN Telephone, Terminal Adapter, which were bought to the premises of the unit valued at Rs.21,19,90,054/- and cleared without payment of Central Excise duty amounting to Rs.3,43,67,490.00 during the period from 1st April 1998 to 31st May, 2000 1st April 1998 to 31st May, 2000 1st April 1998 to 31st May, 2000, under the cover of non-excisable invoices, was proper.

25.1 I find that the Noticee supply Printers, PC Workstation, Modems, Line Testers and ISDN Telephone as bought out items. I find that all these items are in the nature of accessories of equipment manufactured by the Noticee and these items only provide additional features and convenience in the operation of the manufactured equipments, like  printers are for printing purposes, PC workstations are for interface of customer with equipment, Modems are for linking between personal computers and Equipments, Line Testers are for testing cables and ISDN Telephones are for speedy transfer of data. In view of the above functions of the bought out items, I find that the items manufactured by Noticee are complete in themselves even without these bought out items.