- (1.) All the appeals have been filed by the appellant-assessee against the judgment and order dated 09.09.2003 passed by the Customs Excise & Service Tax Appellate Tribunal, New Delhi in E/501-503/0-C, E/997 & 1004-02-C of 2002.
(2.) The Appeal Defective No. 54 of 2004 is the quantum appeal and remaining appeals are pertaining to the various penalties.
(3.) On 19.08.2010, a Co-ordinate Bench has admitted the quantum appeal on following substantial questions of law:- "....(1) Whether in spite of the appellant having specifically pressed ground no.1 of the memorandum of appeal regarding process loss and the provisions of rule 57D which permits the process loss (waste) be not liable to be reversed for claiming the Modvat Credit; the Tribunal was not justified in overlooking the provisions of Rule 57D while holding that there is no question of reversal of any amount of Modvat Credit? (2) Whether there cannot be 100% ratio of the input of raw material and the manufactured quantity of the goods namely HDPE bags/fabric product and the Tribunal was not justified in holding that in view of the Chapter Note on Plastic and Articles under Chapter 39, there could not be any process loss by overlooking the fact that the said chapter is applicable to the goods falling under heading 39.01 to 39.14 whereas the final product of the appellant falls under Chapter 39.23 and 39.26 respectively to whom the said Chapter Note does not apply. (3) In case the aforesaid questions are answered in favour of the Appellant, then whether the penalty should be proportionately reduced.";