ORDER

CA No. 3269 of 2003

1. The short controversy which arises for determination in this civil appeal is: whether the respondent assessee was entitled to claim the benefit of Exemption Notification No. 3/2001-CE dated 1-3-2001?

2. The assessee claims exemption under Sl. No. 200 of the said notification which claim was denied by the Department on the ground that trimmed or untrimmed circles of brass cannot fall under S1. No. 200 but they fall under S1. No. 201 where the rate of duty is Rs. 3500 pre metric tonne. It may be stated that if the product in question falls under S1. No. 200, then the rate of duty is nil. This is the narrow controversy in the present case.

3. To resolve this dispute, we quote hereinbelow the relevant extract of Notification No. 3/2001-CE dated 1-3-2001:

"SI. Chapter or Description of Rate Rate Condition No.

No. Heading Goods under Under

No. or Sub- The First the

Heading Schedule Second

No. Schedule

(1) (2) (3) (4) (5) (6)

200. 74.09 All goods other Nil - [If such goods are not

than trimmed or produced or

untrimmed manufactured by a

sheets of circles manufacturer who

of copper, produces or

intended for use manufact