1990 (9) TMI 209 - Commissioner - Central Excise

Summary

The appeal by M/s. KAVIKA Limited against the Assistant Collector's order disallowing MODVAT credit for aluminium wire received from M/s. Samitan Electropowers was allowed by the Collector of Central Excise (Appeals). The rejection of credit was overturned as the goods were sent for reprocessing and resupplied on nil duty under Rule 173H. The Collector found that the rejection was based on procedural grounds and not on the substance of the transaction.