DODHIA SYNTHETICS LTD. Vs. COMMISSIONER OF CENTRAL EXCISE

JUDGEMENT

(1.) AFTER hearing both sides for some time on the applications for waiver of pre -deposit of duty and penalty, we find that it was possible to decide the appeals at this stage as the issue in dispute viz. eligibility to the benefit of exemption in terms of Notification No. 6/2002 appears to be covered by earlier orders of the Tribunal; hence we waive pre -deposit and taken up the appeals for hearing. We have heard both sides. We find that in the case of Precot Mills v. Commissioner of Central Excise reported in : 2005 (183) E.L.T. 407, the Tribunal has held that Dyed yarn even if manufactured out of doubled yarn on which no duty was paid, was eligible to partial exemption under Sl. No. 97 of Notification No. 6/2000 -C.E. if such doubled yarn in turn was manufactured from single yarn on which duty paid as Dyed yarn in such case can be considered as manufactured out of duty paid yarn in terms of condition 19 of Notification No. 6/2000 -C.E. relating to partial exemption on dyed yarn. In the case of Morarjee Gokuldas Spg. & Wvg. Co. Ltd., the Tribunal vide Order No. A/673/WZB/MUM/2005 -C -II, dated 4 -5 -2005 [ : 2005 (190) E.L.T. 217 (Tribunal)] in the context of Notification No. 14/2002 which is worded similar to the Notification No. 06/2002 held that the benefit of exemption was available to the composite mill in question in similar circumstances. The ratio of the above orders are applicable on all fours to the facts of the present appeals and therefore, following the same, we hold that the benefit of exemption in terms of Notification No. 6/2002 -C.E. is admissible to the appellants herein and set aside the impugned orders and allow the appeals.