CCE Vs. SURYA ROSHNI LTD.

JUDGEMENT

(1.) The facts of the case are that the respondents (manufacturers of bulbs and glass shells) had cleared certain quantity of glass shells on payment of duty to their customers, M/s. Hind Lamps Ltd.; that the customers found the goods defective and returned the same to the respondents; that the respondents on receipt of the returned goods filed D -3 intimation with the jurisdictional Range Supdt. of Central Excise; that they remelted the goods and re -made fresh glass shells out of it and cleared the product on payment of duty to some other customer; that they claimed refund of the duty originally paid, under Rule 173L of the Central Excise Rules, 1944; that the claim was rejected by the original authority on the ground that the goods returned by M/s. Hind Lamps Ltd. were only scrap and its value was below the duty of excise paid originally by the assessee; that the aggrieved assessee preferred appeal to the Commissioner (Appeals) and the latter sanctioned the refund, after reversing the finding of the original authority that the returned goods were scrap; and that the Revenue has filed the present appeal, against the order of the Commissioner (Appeals).

(2.) Heard both sides.

(3.) Ld. JDR reiterates the grounds of the appeal. Ld. Counsel for the respondents justifies the order of the Commissioner (Appeals), relying on the decision of this Bench in CCE, Indore v. Medi Caps Ltd. 2002 (140) ELT 469 as also the decision of the Southern Zonal Bench of this Tribunal in CCE, Chennai v. Vanagaram Refractory Works 1999 (111) ELT 890.