ANIL ICE FACTORY Vs. UNION OF INDIA

JUDGEMENT

(1.) Petitioners challenge the order holding that they are liable to pay excise duty on the Cooling Coils and Condensers manufactured on their precincts. It is not disputed that:

(2.) Counsel for petitioners has called our attention to Tariff Advice as per Annexure G dated 30/09/1969 In our view this Tariff Advice dose not render any assistance to the petitioners. What has been provided therein is that when a refrigerating and air-conditioning plant is constructed which is not ordinarily sold as readily assembled unit countervailing duty would not be livable en it. We are not concerned with such a situation. Even if a company constructs a manufacturing unit for its own use by purchasing different duty-paid parts or other material it would amount to Manufacture. Construction of a plant can Therefore be said to be something which Has been manufactured. If therefore a refrigerating or air-conditioning plant is manufactured by a company for its own purpose it can be said that it has manufactured the plant. The reason for granting exemption is that the plant as a whole is not ordinarily sold as a readily assembled unit. This argument is of no avail to petitioners in the present matter since the petitioners have manufactured cooling coils all condensers which are readily salable in the market. In fact instead of manufacturing this item themselves the petitioners court have purchased duty paid cooling coils and condensers already manufactured by some other manufacturer from the open market and utilised the same.

(3.) Petition therefore fails and is rejected. Petition rejected.