BILT GRAPHIC PAPER PRODUCTION LTD. Vs. COMMISSIONER OF C. EX.
LAWS(CE)-2015-2-63
CUSTOMS EXCISE AND GOLD(CONTROL) APPELLATE TRIBUNAL
Decided on February 09,2015

Bilt Graphic Paper Production Ltd. Appellant
VERSUS
COMMISSIONER OF C. EX. Respondents

JUDGEMENT

RAMESH NAIR - (1.)THIS stay application is arising out of Order -in -Appeal No. NGP/EXCUS/000/APPL/846 -847/13 -14 dated 23 -9 -2013 passed by the Commissioner (Appeals), Customs & Central Excise, Nagpur, wherein Commissioner(Appeals) upheld the order -in -original No. 01/DEM/CND/13 -14 dated 18 -4 -2013 and rejected the appeal of the appellant.
(2.)The fact of the case is that the applicant engaged in the manufacture of paper and paper Board falling under Chapter 48 of Central Excise Act, 1944. During the period from March 2011 to May 2011 and from June 2011 to August 2011 the applicant cleared their goods viz. Copier paper and Maplitho paper in reel form on payment of duty to their various cutting centers for getting them converted into sheet form. From these cutting centers the goods were sold in wholesale trade to various buyers under commercial invoices issued by the applicant. The said goods were sold at a higher price in wholesale trade, than the value on which the appellant paid duly at the time of removal of goods to the various cutting centers. The adjudicating authority confirmed the demand of Rs. 22,927/ - and penalty of Rs. 5,000/ - imposed under Rule 25 of the Central Excise Rules, 2002. Aggrieved by the said order, the applicant filed appeal before the Commissioner (Appeals), who rejected the appeal. Aggrieved by the impugned order the applicant filed appeal and stay petition before us. None appeared on behalf of the applicant.
Shri V.K. Shastri, ld. Asst. Commissioner (AR) appearing on behalf of the Revenue reiterates the findings of the impugned order.

(3.)WE have carefully considered the submission made by ld. AR and perused the record. We find that the fact is not under dispute that applicant cleared the goods in reel form to the, cutting centers on payment of Excise duty at value which is lower than the value of goods sold in sheet form from the cutting centers. While clearing the goods from the factory of the applicant, the transaction was not of sale whereas the same was transfer of goods to cutting centers. After cutting the goods in the sheet form were actually sold by the same i.e. applicant from the place of cutting centers. As per Section 4 of Central Excise Act read with Rule 6 of Valuation of Rules, it is the value at which the goods is sold from the place of sale of goods shall be the transaction value. Therefore in the present case, we are of the prima facie view that both the lower authorities have correctly and legally confirmed and upheld the differential duty. In view of the above facts, we direct the applicant to make a pre -deposit of entire duty amount of Rs. 22,927/ - within the period of six weeks. On deposit of such amount, deposit of balance amount of interest and penalty stand waived. Compliance of the said pre -deposit be made on 13 -4 -2015.
(Operative part pronounced in the Court)

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