K.L. Rekhi, Member (T)

1. The issues involved in these two appeals are inter-connected and they relate to the same appellants. We, therefore, make this combined order to dispose of both of them.

2. The facts, which are not in dispute, in brief are as follows :-

The appellants manufacture wire ropes. Central Excise duty on this item was introduced w.e.f. 1.3.1973 on ad valorem basis. The appellants did not have a regular price list as such of their goods. They sold their wire ropes on contract basis. They had 3 types of sales:-

(i) Sale to D.G.S. D./Government departments on rate contract basis;

(ii) Sale to industrial buyers/dealers on individual contract basis. Each contract was filed as a price list for approval of the central excise authorities; and

(iii) Stock transfer to other depots located at various places in India. From these depots, the goods were sold to general buyers on contract basis.

The dispute is on the last category to sales only in both the appeals. About 60% of the goods were sold ex-factory; the remaining 40% were removed to the depots for eventual sale therefrom.

3. After actual sale of the goods from their depots, the appellants submitted re-conciliation state