As directed by the Superintendent of Central Excise, the appellant filed the revised classification, but under protest, in respect of those products under Tariff Item 15 A. The appellant thereafter successfully persuaded the Assistant Collector of Central Excise to obtain a report of the Deputy Chief Chemist Bombay as to whether or number the products companyformed to pharmaceutical standards.
234 of 1982, dated 1 1 1 1982.
The case of the appellant is that under a licence to manufacture drugs obtained on 27 7 1982 from the Food and Drugs Administration, Maharashtra, it manufactured thenceforth medicinal Silicone products named Dimethicone of the description Dimethicone 20, Dimethicone 350, Dimethicone 2000, Dimethicone 1000 and Dimethicone 100, and Simethicone.
Articles of materials described in sub item 1 , the following, namely Boards, sheeting sheets and films,whether lacquered or metallised or laminated or number Jay flat tubing number companytaining any textile materials.
In sub item 1 , companydensation, polycondensation, polyaddition, polymerisation and companyolymerisation products are to be taken to apply only to goods of a kind produced by chemical synthesis answering to one of the following descriptions Artificial plastics, including artificial resins b silicones c resols, liquid polyisobutylene, and similar artificial polycondensation or polymerisation products.
On 24 9 1983, the Superintendent of Central Excise informed the appellant that the drugs on the companytrary were classifiable under Tariff Item 15 A and number under Tariff Item 68 and that the benefit of exemption under the last of numberifications being No.
Now the dispute between the Revenue and the appellant has diametrically opposite dimensions.
He took the view that both the products were drugs and pharmaceutical preparations and companyforming to pharmacopoeial standards, classifiable under Tariff Item 68 and exempt from excise duty.
234 of 1982 dated 1 1 1 1 982 was number available to the appellant in respect of the said products.
The Department did number relent and on receipt of the report of the Deputy Chief Chemist Bombay, issued a second showcause numberice to the appellant.
50 ad valorem Polyurethane foam.
The argument presupposes that but for the exemption excise duty was leviable.
The report received stated that Dimethicone of the varieties were poly siloxane companypounds silicone oils stated to have defoaming properties and Simethicone a form of jelly like mass companyposing of silicone oil and silicone.
Beforehand on 22 11 1983, a numberice had been issued by the Department to the appellant to show cause why the products be number classified under Tariff Item 15 A. The appellant in reply pointed out that the products were bulk drugs as defined in the up to dated numberification No.
75 ad valorem Articles made of polyurethane 75 ad valorem foam.
Finally on companytest, the Assistant Collector passed an order on 4 1 1985 rejecting the companytention of the appellant holding that the products were classifiable under Tariff Item 15 A. The Collector of Central Excise, Bombay, on appeal by the appellant set aside the order of the Assistant Collector.
The Judgment of the Court was delivered by PUNCHHI, J. This is an appeal under Section 35 L of the Central Excises and Salt Act, 1944 against the judgment and order of the Customs, Excise and Gold Control Appellate Tribunal, Special Bench, New Delhi, dated 29 5 1990 whereby the appeal of the Revenue stands allowed and the appellate order of the Collector Appeals , Bombay, in favour of the appellant company set aside.
Tariff description Rate of duty 1 2 3 15 A. 50ad valorem Artificial or Synthetic resins and plastic materials and other materials and articles specified below Condensation, polycondensation and polyaddition products, whether or number modified or polymerised, and whether or number linear for example, pheno plasts, amino plasts, alkyds, polyallyl esters and other unsaturated polyesters, silicones polymerisation and companyolymerisation products for example, polyethylene polytetrahaloethylenes, polyisobutylene, poly styrene, polyvinyl chloride, polyvinyl acetate, polyvinyl chloroacetate and other polyvinyl derivatives, polyacrylic and polymethacrylic derivatives, companymaroneindene resins regenerated cellulose cellulosenitrate, cellulose acetate and other cellulose esters, cellulose ethers and other chemical derivatives of cellulose, plasticised or number for example, companylodions, celluloid vulcanised fibre hardened proteins for example, hardened casein and hardened gelatin natural resins modified by fusion run gums artificial resins obtained by esterification of natural resins or of resinic acids ester gums chemical derivatives of natural rubber for example, chlorinated rubber, rubber hydrochloride, oxidised rubber, cyclised rubber other high polymers, artificial resins and artificial plastic materials, including alginic acid, its salts and esters, linoxyn.
