M/S. ESSEL PROPACK LTD. vs COMMNR. OF CENTRAL EXCISE, MUMBAI

The Supreme Court upheld the Tribunal's decision confirming the demand for excise duty under Section 11-AB of the Central Excise Act, 1944, stating that the value of plastic caps fitted to tubes must be included in the assessable value. The Court distinguished the case from Union of India v. J.G. Glass Industries Ltd., emphasizing that since the caps were fitted before removal from the factory, they are part of the excisable product. The appeal was dismissed, affirming the Tribunal's modified penalty and interest.