2002 (12) TMI 544 - AT - Central Excise

Summary

The Appellate Tribunal CEGAT, New Delhi allowed the appeal of the appellant regarding the recovery of Modvat credit of Rs. 6,99,305. The inputs were destroyed in a fire, and the appellant had not claimed compensation from the Insurance Company for the duty paid on the inputs. The Tribunal held that the Modvat credit was admissible as the inputs were destroyed after manufacturing operations had commenced. The impugned order was set aside, and the appeal was allowed.