CCE & C Vs. KRIPA CHEMICALS PVT. LTD.

JUDGEMENT

(1.) THE order of Collector (Appeals), Pune is sought to be challenged in the appeal by the Commissioner, on the one hand and the cross objection filed by the respondent. The cross objection has not been listed but the notice of hearing mentions it. The cross objection was therefore, also taken up for disposal with the consent of both sides. We have heard both sides.

(2.) THE department's appeal questions the Collector's finding that the duty element on the raw materials, which were sent to the respondent, a job worker for conversion of finished product to form part of assessable value, determined in terms of rule 6(b)(ii) of Valuation Rules must form part of the assessable value. Credit was taken on the duty paid on these goods. The decision of this Tribunal in Dai Ichi Karkaria v. CCE (1996 (63) ECR 23 (T)) would apply in support of the Collector's findings.