COMMISSIONER OF CENTRAL EXCISE Vs. GTC INDUSTRIES LTD

JUDGEMENT

(1.) This appeal was admitted on the following questions of law.

(2.) This appeal is filed by the Commissioner of Central Excise, Mumbai-V challenging the order dated 19/4/2005 passed by the CESTAT. The respondent ('assessee' for short) is the manufacturer of cigarettes and falling under CH.S.H.2403.11 scheduled to CETA 1985. The assessee used duty paid paper back aluminium foil in the roll form for the purpose of packing cigarettes. In the process the cigarette roll is cut to size and got embossed with word 'PULL' and is wrapped in the cigarette.

(3.) As per notification dated 13/5/1988 the duty paid aluminium foil when cut and embossed,the resultant product was exempted from payment of excise duty. However, the government withdrew the said notification by a notification no.44/94 dated 1/3/1994 . Thereupon, the respondent filed Classification List 9/94 /Aluminium foil dated 26/4/1994, under protest classifying the products as aluminium foil cut to shape under tariff 7607.30 and aluminium foil embossed under CSH 7607.20. During the pendencyof the approval of the classification list the assessee paid excise duty on cut to shape/embossed aluminium foil @ 20%as per tariff heading 7607.30 and 7607.20. The Assistant Commissioner vide order dated 1/7/1994 held that the aluminium foil cut to shape/embossed which is used for packing cigarettes does not amount of manufacture and accordingly returned the classification list submitted by the assessee. Being aggrieved by order dated 1/7/1994 the appellant preferred an appeal before the Commissioner of Central Excise (Appeals) who dismissed the said appeal by order dated 9/3/1999. Being aggrieved by the said order of the Commissioner of Central Excise the appellant filed appeal before the CESTAT and the said appeal was also dismissed by order dated 19/5/2005 by the CESTAT. Hence the appellant has filed this appeal under section 35(G) of the Act .