On the basis of the details aforesaid the case of the appel lant was that the paper companyes companystituted companyponent parts within the meaning of the Notification entitling it to the exemption granted by the said Notification.
As is apparent even from the order of the Tribunal the details of the use of paper companyes in the manufacture of paper as set out by the appellant on the basis whereof the exemption was claimed by it read as hereunder Paper companyes Paper companyes are used in paper mill on re winding and cutting machines.
To cut the parent roll of paper manufactured on paper machine which is wound on steel shell into small reels suitable for cutter machine, the paper is re wound on paper companyes fitted on a shaft on re winding machine.
The reels thus re winded on paper companyes can be easily cut into sheets on cutter machine into re quired size or sent to customers as reels as such, there is numberother use of paper companyes except their use in re winding and cutting machine in paper mills.
E/62/85 C. Harish N. Salve, Mrs. M. Sud, Ms. Aruna Jain and Praveen Kumar for the Appellant.
From the Judgment and Order dated 10.5.1988 of the Customs Excise and Gold Control Appellate Tribunal, New Delhi in Appeal No.
Dutta, Additional Solicitor General, T.V.S.N. Chari and P. Parmeshwaran for the Respondent.
The case of the respondent on the other hand was that paper companyes were really used by the appellant as packing material after the paper had already been manufactured for taking it to the market and did number companystitute companyponent parts of paper.
105/82 dated February 28, 1982 hereinafter referred to as the Notification The Assistant Collector, Central Excise rejected the claim of the appellant but its claim on appeal as regards exemption from duty on paper companyes was allowed by the Appellate Col lector.
CIVIL APPELLATE JURISDICTION Civil Appeal No.
The Judgment of the Court was delivered by OJHA, J. This appeal under section 35L of the Central Excises and Salt Act, 1944 hereinafter referred to as the Act has been preferred against the order dated June 28, 1988 of the Customs Excise and Gold Control Appellate Tribunal, New Delhi.
68 of the First Schedule to the Central Excises and Salt Act, 1944 1 of 1944 have been used, as raw materials or companyponent parts hereinafter referred as the inputs , from so much of the duty of excise leviable thereon as is equivalent to the duty of excise already paid on the inputs.
The full width of paper manufactured on paper machine is cut in different sizes of reel and sheets according to customers requirement.
201/79 dated June 4, 1979 as amended by Notification No.
On the plea that in the manufacture of paper the appellant uses paper companyes, exemp tion from payment of excise on such paper companyes was claimed by it on the basis of a Notification No.
The appellant carries on the business of manufacture and sale of paper.
Aggrieved by that order the Collector of Central Excise, Meerut, preferred the appeal in which the order which is the subjectmatter of the present appeal, was passed.
The Notification on the basis of which exemption was claimed by the appellant inter alia provides the Central Government hereby exempts all excisable goods hereinafter referred as the said goods , on which the duty of excise is leviable and in the manufacture of which any goods fall ing under Item No.
3474 of 1988.
