GANESH POLYTEX LTD Vs. UNION OF INDIA

JUDGEMENT

(1.) This case has pained us. Even if the stand of the revenue is correct-though there are doubts about it-this is not the way to go about doing it. Here are the facts.

(2.) The petitioner claims to manufacture Recycled Polyester Staple Fibre since 2000. According to the petitioner it is neither an excisable good nor any excise duty is leviable on the same. The petitioner has also been filing returns showing them as non-excisable goods.

(3.) A notice under Section 11-A of the Central Excise Act (the Act) was issued to the petitioner for charging excise duty on the same. The petitioner filed its reply, which was decided against the petitioner. An appeal was filed. It was allowed by the Commissioner (Appeals) on 31.05.2004. The department filed an appeal before Customs Excise & Service Tax Appellate Tribunal, New Delhi (the Tribunal). The petitioner also filed his cross objection in support of the order of the Commissioner (Appeals).