JUDGMENT
Jyoti Balasundaram, Member (J)
1. The above 3 appeals arise out of a common order of the Commissioner of Central Excise, (Appeals) confirming the total demand of Rs. 5,35,10,835.86 consequent upon the classification of the products in dispute under Central Excise Tariff sub-heading 5909.00. It is submitted by the ld.counsel for the appellants that classification of the goods viz. those described as “Canvas belting duck, filter cloth, industrial fabrics and C.T.C. fabrics” was decided by the Tribunal as reported in 1993(49) ECR 147 but this decision stands over-ruled by the Larger Bench of the Tribunal in the case of Jyoti Overseas Ltd. v. CCE, Indore [2001(130) E.L.T. (Tri-LB). He, therefore, submits that since the classification under Heading 59.09 has been ruled out and classification of cotton fabrics has been held to be under Chapter 52.05 and man made fabrics under Heading 54.08, the consequent demand is unsustainable and he, therefore, prays that it may be set aside and the appeals allowed.
2. The ld.departmental representative submits that there is some doubt as to whether the goods described in the invoices by the appellants are in running length, which is necessary to be verified before application of the Larger Bench decision which is in the context of grey fabrics in running length.
3. We have perused the show cause notices issued to the appellants in these cases and find that the classification under Chapter Heading 52/54 respectively has been sought to be changed only on the ground that the fabrics are suitable for industrial use (SIC) thus bringing them within the coverage of Heading 59.09. There is no allegation that the fabrics manufactured and cleared by the appellants were cut (SCI) size. Therefore, the doubt of the ld.D.R. stands answered in favour of the assessees whose claim has been negated by the authorities in the earlier order on classification only on the ground that the fabric was suitable for industrial use. This being so, the classification of the products as claimed by the assessees requires to be accepted and the demand raised as a result of classification under Heading 59.09 requires to be set aside. We order accordingly. In the result, we set aside the impugned order of the Commissioner (Appeals) and allow these appeals.
(Dictated in Court)