9911796707
TMI Blog1995 (1) TMI 191X X X X Extracts X X X X X X X X Extracts X X X X ..... g material and are not inputs for final product i.e. biscuits. 2. The inputs on which modvat credit has been disallowed are necessary and are inextricably connected with the final product because the final product cannot be sold without the packaging material bearing the trade name and other particulars required by various statutory provisions. Whether this Hon ble Tribunal is correct in law in holding that the said inputs are not the inputs of the final product i.e. biscuits. 3. As to whether this Hon ble Tribunal correctly held that the principle laid down by the Hon ble Supreme Court in East End Papers Industries Ltd. and Collector of Central Excise v. Ponds India Ltd. (supra) is not applicable to the case of the applicants herein... ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tate, poly granules, etc. 3. Shri Harbans Singh, learned Counsel for the applicant submits that the use of the ink and other materials on which modvat has been denied is necessary for putting the product in the market stream in view of the requirement of certain statutory enactments such as Food Adulteration Rules, 1955 and the Standards of Weights and Measures, 1976. Rule 32 of the Prevention of Food Adulteration Rules, 1955 lays down : Every package of food shall carry a label and unless otherwise provided in these rules, there shall be specified on every label : (a)the name, trade name or description of food contained in the package; (b) the names of ingredients used in the product in descending order of their composition by wei ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... vat credit was allowed on plastic granules which were used in the making of the containers for cosmetics and toilet preparations. He also refers to the decision of the East Regional Bench in the case of Britannia Industries Ltd. v. Collector of Central Excise - 1993 (67) E.L.T. 980 upholding the eligibility to modvat credit on processed paper used for packing of biscuits. Lastly he submits that the decision in the case of Parle Biscuits - 1992 (57) E.L.T. 152 which has been relied upon in the final order of the Tribunal which forms the subject matter of the reference applications, has been challenged before the Hon ble Bombay High Court in WP 3880/90 which has been admitted on 14-1-1991 and the High Court has also granted conditional interi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ing of the containers for cosmetics and toilet preparations by the Madras High Court in the case of Ponds (India) Ltd. v. Collector of Central Excise - 1993 (63) E.L.T. 3 (Mad.) We further note that the Madras High Court decision (supra) was noted by the Tribunal in paragraph 4 of its order, but not dealt with. In such circumstances, and particularly when the Parle Products decision of the Tribunal which forms the basis for the present decision in the appeals before the Tribunal is itself in dispute before the Hon ble Bombay High Court, we are of the view that an important question of law does arises for reference. Accordingly we forward the following question of law for reference to the High Court : Is it correct in law for the Tribunal ..... X X X X Extracts X X X X X X X X Extracts X X X X
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