JUDGMENT

Syed Shah Mohammed Quadri, J.-These statutory appeals arise from the common order of the Customs, Excise and Gold (Control) Appellate Tribunal, New Delhi (for short the CEGAT ) in Appeal Nos. E/1759/95-A and E/5555/92-A dated June 20, 1996. The appellants are the assessees under the Central Excise Act, 1944 (for short, the Act ).

2. The facts giving rise to these appeals are not in dispute. The appellants deal in turbo alternators which have two components: (i) steam turbine; and (ii) complete alternator (also called Generator ). Of them, the appellants manufacture steam turbine in their factories at Allahabad and Bangalore where excise duty is paid on them under the Act. They purchase duty paid complete alternators which are delivered at the site of the customer. On the ground that the appellants failed to declare manufacture of turbo alternators, show cause notices were issued to them by the Collectors of Central Excise at Allahabad and Bangalore, inter alia, stating that turbo alternators are liable to excise duty under Heading 85.02 of the Central Excise Tariff Act, 1985 (for short the CET Act ). The appellants resisted the claim on the ground that (i) a turbo altern