2002 (8) TMI 137 - AT - Central Excise

Summary

Issues:
Rectification of mistake in Tribunal's Misc. Order, Validity of invoices for claiming Modvat credit

Analysis:
The two applications were filed for rectification of mistake in Tribunal's Misc. Order. The appellants manufacture, stamping, and lamination, availing Modvat credit of duty paid on inputs. The Assistant Commissioner disallowed Modvat credit on grounds of challan issued by Steel Authority of India Ltd. being endorsed twice. Appeals were rejected by the Commissioner and the Madras Bench of the Tribunal. The Bangalore High Court quashed the Tribunal's order and directed a Larger Bench. The issue was not dealt with in the Tribunal's order dated 10-1-2000. The applications for rectification were dismissed as withdrawn. The issue was whether invoices endorsed more than once are valid under Rule 57G of Central Excise Rules pre-1-4-94. The Larger Bench had not considered the question, leading to a mistake requiring rectification under Section 35 'C' of the Central Excise Act.

Opposing the prayer, the Departmental Representative stated that the Larger Bench had decided on issues related to invoices from unregistered dealers and endorsed invoices post-1-4-94. It was argued that no mistake had occurred in the order dated 10-1-2000 as the issues referred to the Larger Bench had been addressed. The Bench hearing the appeals could refer the matters to the President for constituting the Larger Bench if the issues had not been referred to it.

The Tribunal considered both sides' submissions and noted that the issue in the appeals was not referred to the Larger Bench for consideration. The appeals were listed for hearing but the issue was not addressed by the Larger Bench. As the issues referred to the Larger Bench were answered, the Tribunal rejected both applications. The appellants were advised to pursue their appeals before the Bangalore Bench as directed by the High Court of Karnataka in its order dated 17-2-98.