GLOBAL ADSORBENTS (P) LTD. Vs. CCE, HYDERABAD

JUDGEMENT

(1.) THIS stay petition is directed for the waiver of pre -deposit of the following amounts : -

(2.) THE issue involved in this case is regarding the discharge of duty liability on the sale of 6292 bags of 50 kgs. of activated Charcoal. It is the case of the Revenue that the appellant had repacked the Charcoal imported/purchased by them into 50 kgs. bags and by this has rendered themselves for the duty liability as it would amount to deemed manufacturing activity.

(3.) LD . Counsel draws our attention to the findings of the Adjudicating Authority and the show cause notice. It is the submission that the show cause notice proceeds on the ground that the appellant had imported activated Granular Carbon vide Bill of Entry dt. 8 -10 -2007 in bulk and sold the same in small pack. He would also draw our attention to the finding of the Adjudicating Authority and submit that the entire case has been made out against the assessee only on the ground that the assessee has purchased/imported activated Carbon in bulk and repacked into small pack and sold them and by virtue of Chapter Note 9 of Chapter 38 of the Central Excise Tariff Act, 1985, they have engaged in the manufacture of the goods and hence, are liable for excise duty. It is his submission that the lower authorities have not considered the appellants basic plea that the goods which were imported by them were either in 50 kgs. bag or in 25 or 20 kgs. bag and they were packed into 50 kgs. bag. It is the submission that whatever imported/purchased were never in bulk.