SAIL Vs. CCE

JUDGEMENT

(1.) Heard both sides.

(2.) The Appellants produced the necessary permission from the Committee on Disputes to pursue the appeal. The applicants filed this application for waiver of pre -deposit of duty of Rs. 15,15,69,617 and penalty of Rs. 50 lakhs. In this case the duty was confirmed in respect of parts of capital goods which are used for the manufacture of final products. The items in dispute are Blooms, Billets, Angles, Channels, Wire rods, Rails, Joists, Slabs, Plates, Rods, Bars, etc. The contention of the applicants is that these are used in the manufacture of capital goods which were further used in the manufacture of final products. The Revenue's contention is that Blooms, Billets, Angles, Channels, Wire rods, Rails, Joists, Slabs, Plates, Rods, Bars, etc. cannot be used as part of capital goods. These are raw material for the manufacture of Hot Rolled products. Keeping in view the facts and circumstances of the case we find that it is not a fit case for total waiver of pre -deposit of duty and penalty. Therefore, the Applicants are directed to deposit of sum of Rs. 2 crores within a period of 6 weeks. On deposit of the above amount there shall be waiver of pre -deposit of remaining amount of duty and penalty for hearing of the appeal.