ITC LTD. Vs. COMMISSIONER OF CENTRAL EXCISE, MEERUT

JUDGEMENT

(1.) THIS reference arises out of difference of opinion between two learned Members while hearing an appeal filed by M/s. ITC Ltd. By order dated 28.4.98 the Assistant Collector of Central Excise, Saharanpur made a demand against the appellant for an amount of Rs. 80,30,20,263.55 after finalising provisional assessment relating tot he cigarettes cleared from the appellant's factory during the period October, 1975 to February 1983. Aggrieved by the demand, ITC Ltd. filed an appeal before the Collector (Appeals) Ghaziabad who dismissed the same by Order -in -Appeal No. (SIC) dated 18.10.94 which is under challenge in the present appeal before this Tribunal.

(2.) AS a result of the difference of opinion between the two Learned Members, the following points are referred:

(3.) WHILE submitting their price lists for the period from 1.10.75 to 28.2.83 for clearing cigarettes, M/s ITC had claimed certain deductions. The question that came up for consideration by the DG under the abovementioned order was whether the deduction thus claimed by M/s. ITC was allowable under Section 4 of the Central Excise & Salt Act, 1944 (hereinafter referred to as the Act) read with Rule 5 of the Central Excise Valuation Rules, 1975 (hereinafter referred to as the Rules). After elaborate consideration of the arguments on both sides the DS entered the following findings in paragraph 18.1. -