D.N. STEEL Vs. CCE

JUDGEMENT

(1.) When the case was called none appeared on behalf of the appellants. Hear learned SDR.

(2.) In this case the benefit of Notification No. 202/88 -CE dated 20.5.1988 was denied to the appellants in respect of the final product on the ground that input used in the manufacture of final product are clearly recognizable as non -duty payable.

(3.) The contention of the appellants in the present appeal is that as per the Explanation to the Notification No. 202/88 -CE dated 20.5.88, all stocks of input in the Country except such stocks as are clearly recognizable as being non -duty paid shall be deemed to be input on which duty has been paid. The appellant's purchased the scrap of old and used rails and other scrap from the market an used in the manufacture of final product. The contention of the Revenue is that the scrap used in the manufacture of the final product is clearly recognizable as non -duty paid. The Revenue relied upon the decision of the Hon'ble Supreme Court in the case of Elphinstone Metal Rolling Mills v. Collector of Central Excise, Bombay, 2004 (94) ECC 197 (SC).