ORDER
Gowri Shankar, Member (T)
1. The issue to be decided in these two appeals is the eligibility of the sump pumps manufactured by M/s Modi Industries Private Limited, the appellants to the benefit of notification 5778-CE dated 1st March, 1978, The notification exempts “power driven pumps primarily designed for handling water” of the types specified in the Table from the whole of duty of excise. The Assistant Collector of Central Excise and the Additional Collector of Central Excise in the impugned orders had found that the literature relating to the pumps indicated that they were designed for handling water containing sand, mud, sludge, etc.; the advertisement published by the manufacturer described them as pumps for dewatering of building sites, tunnels and mines, for industry and agricultural and marine duties. Each of them, therefore, held that the pumps were not primarily designed to handle water and would not be eligible for the benefit of the notification. The order of the Assistant Collector having been confirmed in appeal, an appeal has also been filed here. An appeal has been filed against the order of the Additional Collector of Central Excise.
2. Shri N.C. Sogani, consultant, pointed out that the brochure put out by the appellant which has been relied upon by the adjudicating authority referred to various models of submersible pumps. Out of these, it was only models L 554 and L 150 which described the pumps for handing water containing sand, mud, sludge etc. or ash laden water respectively. There is no such description with regard to the other pumps .In fact, he pointed out, the brochure itself claimed that the pumps were of special materials to keep out a wide variety of extraneous matter: mud, gravel, sand, muck etc. He also argued that the notification provided that the pump should be primarily designed for handling water and this could not be interpreted to mean that they should be designed for handling only water
3. Shri KK. Jha, SDR, supports the impugned orders.
4. On reading through the brochure, Shri N.C. Sogani’s contention is seen to be correct. Out of five models described in it, it is only two models which have been described as handling water containing solid particles such as sand etc. It is obvious that this description has been applied by the adjudicating authorities to the other models also. This is borne out by the reference in the orders to the brochure. Apart from this, the fact that the pumps are used for pumping water which may contain extraneous matter does not in out view, disentitle them to the benefit of the notification. The notification exempts power driven pumps primarily designed for handling water. It is not as if the notification exempts only those pumps which are designed solely or exclusively for handling water. It is a matter of common knowledge that water in most forms contains impurities. These impurities may be either dissolved in the water or be in the form of suspended particles of solid matter. It is only distilled and demineralised water which would not contain impurities or, more accurately contain impurities to an insignificant extent. Therefore, it would not be unreasonable to say that any pump which pumps water from either a natural or an industrial site would be pumping water that has foreign matter in it. This is obviously what has (illegible) the use of the words “primarily designed for handling water” occurring in the Table to the notification. Once this distinction between “primarily designed” and “exclusively designed” is grasped it follows straightaway that a pump which pumps water in which there may be foreign matter, whether dissolved or suspended would be eligible for the benefit of the notification. Indeed the reference in the brochure to water that contains sand, mud, sludge etc. or ash laden water in thermal power stations itself shows that it is primarily water that is to be pumped out and the solid particles are secondary in content. As a matter of fact, this Tribunal has itself, held in the case of CCE v. Fair Bank Morse (I) Ltd. that a sewage disposal pump is designed to handle liquid. It has, therefore, to be held that the pumps in question are eligible to the benefit of the notification.
5. In the result, we allow the appeals setting aside the orders appealed against with consequential relief, if any.