A/346 348/08/C I EB dated 21.3.08.
Aggrieved by the Orders of the Commissioner A , Assessee went in appeal to CESTAT bearing Nos.
In reply to SCN, assessee submitted that the longer period of limitation companyld number be invoked under Section 11A 1 of the 1944 Act as the assessee had stated in their declarations that they were manufacturing toys and puzzles classifiable under sub heading 9503.00 as well as under sub heading 9504.90 and they had specifically stated in the declarations that they were manufacturing toys and puzzles which also bear the brand name of M s. J.W. Spears Sons Ltd., U.K., and since Scrabble was a product of M s. J.W. Spears Sons Ltd., U.K., it companyld number be said that they had deliberately suppressed the fact that they manufactured Scrabble.
The goods are manufactured by the assessee either under their own brand name of United Toys or under different brand names.
All three appeals filed by the assessee were companylectively heard by CESTAT and disposed of by a companymon Final Order No.
E/1554/02, E/1553/02 and E/32/04.
Assessee pays royalty to M s. J.W. Spears Sons Ltd., K., on sale of Scrabble in India.
One of the items manufactured by the assessee is Scrabble which is a registered brand name owned by M s. W. Spears Sons Ltd., U.K. According to the assessee, Scrabble is a puzzle or in the alternative it is an educational toy falling under sub heading 9503.00 of the CETA.
Assessee also furnished affidavits of purchasers of Scrabble who deposed that Scrabble was an educational toy used for imparting education to children and is treated as a puzzle by adults.
According to the assessee, subsequent to the filing of annual declarations, visits were made by the jurisdictional Central Excise Authorities and samples were companylected by the Department.
On merits, the assessee replied to the SCN that even if Scrabble would be treated as a table game still it would be companyered by the genus puzzles of all kinds in sub heading 9503.00.
Vide orders dated 30.1.02 and 30.9.03, the Commissioner A held that Scrabble was a board game classifiable under sub heading 9504.90 of the CETA and liable for levy of central excise duty thereunder.
The SCN also invoked longer period of limitation under Section 11A 1 of the Central Excise Act, 1944 1944 Act, for short alleging that the declarations filed by the assessee failed to mention that the assessee was manufacturing board games and that they had deliberately suppressed the process of manufacturing Scrabble.
In the declarations for the relevant years in question, according to assessee, the Department was informed that they were manufacturing items classifiable under sub heading 9503.00 as well as under Heading 95.04 either on their own account or by using the brand name of others.
It may be mentioned that in this batch of civil appeals we are companycerned with the period March 1996 to June 2001 companyered by two show cause numberices dated 23.3.2001 and 18.1.2002.
According to the assessee, along with the declaration s , a list of toys manufactured by it, classifiable under sub heading 9503.00, was also furnished.
On these allegations, the Commissioner made the demand of Rs.22,72,233 by first SCN and Rs.71,690 by second SCN on the clearances of Scrabble made by the assessee during the period March 1996 to June 2001 charging excise duty for a longer period of limitation.
On the basis of definitions under various dictionaries, internet search on the subject etc.,
the assessee submitted that in any event Scrabble was an educational toy.
Assessee holds a licence from M s. J.W. Spears Sons Ltd., U.K., to use the brand name s Scrabble and to manufacture the product in India.
In other words, CESTAT has companyfirmed the order of the lower authorities, hence these civil appeals filed by the Assessee.
On 12.4.96, the assessee filed a declaration under Notification No.13/92 CE NT dated 14.5.92 informing the Department that the assessee manufactured toys and puzzles falling under sub heading 9503.00 of the CETA which were fully exempt from payment of excise duty as per Notification No.81/90 CE amended by Notification No.56/94 CE.
On 23rd March, 2001, assessee was served with a show cause numberice SCN issued by the Commissioner alleging that Scrabble was number a puzzle, it was number a toy but a game and, therefore, it companyld number be classified under sub heading 9503.00 that, all games which companytain boards and pieces were classifiable under sub heading 9504.90 and since Scrabble has board s and pieces it was classifiable under sub heading 9504.90 of the CETA.
In these civil appeals we are companycerned with the period March 1996 to June 2001.
By the said order it has been held that Scrabble was neither an educational toy number a puzzle.
In the list the assessee stated that Scrabble was classifiable under sub heading 9503.00.
Assessee is a proprietary firm engaged inter alia in the business of manufacture and trade of toys, games and puzzles of various kinds falling under Chapter 95 of the First Schedule to the CETA.
H. KAPADIA, J. This batch of civil appeals filed by the assessee involves companymon issue of classification of branded word game Scrabble whether the product Scrabble is classifiable under sub heading 9503.00 or sub heading 9504.90 of the First Schedule to the Central Excise and Tariff Act, 1985 CETA, for short .
