Full Judgment
2. The appellants are engaged in the manufacture of yarn falling under Chapter 55 of the CETA. A show cause notice was issued for having filed the classification declaration of the yarn under Chapter 5205.11 and claimed the benefit of exemption Notification No. 6/2000 for payment of duty @ BED 8%, instead of classifying it under Chapter 56.06. They contested the classification of their goods and also the denial of benefit of that notification, in their reply to the show cause notice.
The adjudicating authority did not accept their plea and confirmed the demand of Rs. 1,05,329/- and also imposed penalty of Rs. 10,000/-under Rule 173Q. That order of the adjudicating authority had been affirmed by the Commissioner (Appeals).
3. The learned Counsel has contended that the yarn manufactured by the appellants was rightly classified under Chapter 5205.11 and as such the benefit of the exemption notification in question could not be denied to them.
4. On the other hand, the learned SDR, has reiterated the correctness of the impugned order.
5. We have heard both sides. We find from the record that the issue of classification of the yarn manufactured by the appellants already stands finally decided against them vide order-in-original No.251/01-02/VAL, dated 26-2-2002. Their classification under Heading No.52.05 had not been accepted. There is nothing on the record to suggest if that order was ever challenged by the appellants before the competent forum. Therefore, that order has become final.
6. Since the yarn manufactured by the appellants had been held to be classifiable under Chapter 55, they are not entitled to claim any benefit under Notification No. 6/2002.
7. In view of the discussion made above, we do not find any illegality in the impugned order of the Commissioner (Appeals) and the same is upheld. The appeal of the appellants is dismissed.