SANGAM PROCESSORS Vs. CCE JAIPUR- 11

JUDGEMENT

(1.) This appeal has been preferred against the impugned order of the commissioner dated 30.3.2000. The issue involved in the appeal is as to whether the length of galleries can be included or not while determining the production capacity Hot Air Stenter is terms of Hot Air Stenter Independent textile Processors Annual Capacity Determination Rules, 1998.

(2.) It has been fairly conceded by both the sides that the above said issues already stand answered by the Larger Bench of the Tribunal in Sangam Processors Bhilwara Ltd. vs. CCE Jaipur 2001(42) RLT 429. In that case it has been ruled by the Larger Bench that galleries cannot be taken into account while computing production capacity of (sic) as it is not an equipment aiding the process of heat setting on drying of fabrics as contemplated by Explanation 1 to Rule 3 of the Central Excise Rules.

(3.) The impugned order of the Commissioner runs contrary to the decision of the Larger Bench as he has taken into account galleries also while determining the production capacity of the stenter. Therefore, his order cannot be legally sustained. The matter requires re -determination in the light of the above said decision of the Larger Bench. Therefore, the impugned order is set aside and the matter is sent back to the adjudicating authority for the limited purpose of deciding the production capacity of the stenter in the light of the abovesaid decision of the Larger Bench. The question of interest and penalty will also be determined afresh. The adjudicating authority will decide the matter after affording opportunity of hearing to both the sides.