KARN. CEMENT PIPE FACT. INDUS. Vs. CCE

JUDGEMENT

(1.) After hearing for some time with reference to the stay petitions filed by the party, we find that the matter itself can be disposed of on limited issue. Accordingly the appeals were taken together for hearing with consent of both the sides.

(2.) The appellants, M/s Karnataka Cement Pipe Factory, are manufacturers of PSC Pipes falling under Chapter Sub -heading 6807.90 of the Central Excise Tariff Act, 1985 and are availing SSI exemption under relevant Notifications.

(3.) Shri Prakash Shah, learned Advocate appearing for the appellants submitted that the main dispute relates to valuation. Under diverse contracts with Karnataka Urban Water Supply and Drainage Board, the appellants agreed to manufacture, supply, lay, joint, commission, test and maintain pipes for 12 months and received a composite price for the same. The appellants manufactured PSC Pipes and cleared the same to various sites of the Board after payment of duty. He submitted that while determining the value of PSC Pipes in question, the Commissioner has determined the value of PSC Pipe based on the data rates provided by the Board and as a result of it, the method of value is untenable and unsustainable in the eye of the law.