- (1.) The only question argued on behalf of the appellant in this appeal relate to the interpretation of rule 96-I of the Central Excise Rules, 1944 . But before we take up this question it is necessary to state the essential facts which are not in dispute.
(2.) Messrs. Modi Spinning and Weaving Mills Company Ltd., Modinagar with its registered office at Modinagar in the district of Meerut is a limited company. It owns two factories. One factory is known as Cotton Spinning and Weaving Mills and the other as Rayon and Silk Mill. Under the Central Excise and Salt Act, 1944 excise duty is payable on the manufacture of Rayon and Artificial Silk Fabrics.
(3.) The Cotton Spinning and Weaving Mills has got no spinning plants, but the Rayon and Silk Mills has got spinning plants. The Rayon and Artificial Silk Fabrics are produced in the Rayon and Silk Mill. The two factories are separate and independent. They are independently registered with the Collector, Central Excise, Allahabad, for payment of excise duty. Although both of them are situated within the same premises counsel for the appellant has conceded that nothing turns on that circumstance. Undoubtedly the two factories are separate and independent.;