CCE, JAIPUR Vs. M/S SESAME FOODS

JUDGEMENT

(1.) LD . DR Shri Vijai Kumar submits that when the goods were sold by 100% EOU in domestic area charging provision under Section 3 of Central Excise Act 1944 is to be read in terms of proviso appearing in sub -clause (ii) of sub -section (1) of Section (3) for levy of duty on such goods. According to him if any rate of duty under excise law is not prescribed on such goods, the duty payable shall be equal to aggregate of the duties of Custom which would be leviable on goods produced or manufactured outside India if imported into India. In view of such mandate of the statute, not only the duty becomes payable according to the Tariff Entry of Customs law but also according to the provisions contained in any other law for the time being in force. He also submits that even if the goods are not appearing in Central Excise Tariff Act, 1985, those goods are liable to excise duty since manufactured in India. Therefore, ld. Appellate Authority has made an error in law to allow the Appeal of the Respondent by order dated 7.10.05.

(2.) LD . Counsel Shri Bipin Garg appearing on behalf of Respondent supports the order of the ld. Appellate Authority on the ground that when the goods are not liable to excise duty by specific provision of law, that shall not be made liable by any imagination.

(3.) HEARD both sides and perused the record.