CCE Vs. VARNOJ ASSOCIATES

JUDGEMENT

(1.) In this appeal filed by Revenue the issue involved is whether Central Excise duty is leviable on the goods manufactured by M/s. Varnoj Associates.

(2.) Shri Virag Gupta, learned DR, submitted that the Respondent manufacture ducting, chutes, supporting structure, platform, stair case and other items for installation of clinker collers, electrostatic precipitator for M/s. Vikram Cement; that the Commissioner (Appeals) has held the product non -excisable holding that no evidence has been adduced by the department to suggest that the impugned items were goods capable of being marketed as such relying upon the Board's Order No. 58/1/2002 -CX dated 15.1.2002 issued under Section 37B of the Central Excise Act. The learned DR, further, submitted that Shri P.N. Jethwani, Proprietor of the Respondent firm, had admitted in his statement dated 19.10.95 that he had manufactured goods for M/s. Vikram Cement from material supplied by them; that he had also admitted that the manufactured goods for CCI, Nayagaon, also without obtaining Central Excise registration under Rule 174 of the Central Excise Rules; that various items of electrostatic precipitator are moveable items and can be sold in the market and can be assembled at another site.

(3.) Countering the arguments Shri P.N. Kaul, learned Advocate, submitted that the goods fabricated by them are not excisable as these could not be brought to the market for being bought and sold; that it has been held by the Bombay High Court in the case of Sunflag Iron & Steel Co. Ltd. v. Addl. Collector of Central Excise,