ORDER
S. Kalyanam, Vice-President
1. Stay petition: While hearing the stay petition, since it was found that the issue is squarely covered by the ruling of this Bench, with the consent of the parties by granting waiver of pre-deposit of duty we take up the appeal itself for disposal today.
2. Appeal: The appeal is directed against the order of the Collector of Central Excise (Appeals), Madras, dated 20.2.1995 rejecting the appellants’ claim for relief in terms of Rule 57F(2) of the Central Excise Rules, 1944 in respect of scrap generated during the course of manufacture and cleared out of the factory.
3. Shri Hira Kumar, the learned Counsel for the appellant submitted that the issue is with reference to the appellant’s eligibility to pay duty on the scrap generated during the course of utilising the duty paid inputs in the manufacture of end-product and urged that the appellants’ case may be considered in terms of Rule 57F(2).
4. Heard Shri Victor Thyagaraj, the learned SDR.
5. On going through the entire records, we find that identical issue has been decided in favour of the Revenue by the rulings of this Bench in the case of Nucon Industries Pvt. Ltd. v. CCE reported in 1991 (37) ECR 47 and also in the case of India Pistons v. CCE vide order No. 47/94 dated 10.1.1994 1994 (51) ECR 353 (T). This Bench in the aforesaid rulings held that scrap generated in the factory during the processing of duty paid input during the course of manufacture of the end-product would be covered by Rule 57F(4) and would not come within the mischief of Rule 57F(2), as admittedly what was cleared from the appellant’s factory was not duty paid inputs but waste generated during the processing of inputs during the course of manufacture of the end-product. Following the ratio of the above said rulings, we uphold the impugned order and dismiss the appeal.
Pronounced and dictated in the open Court