1997 (7) TMI 323

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..... - The appellants herein are engaged in the manufacture of Hydrochloric Acid, Chlorofluoro carbon, Methane and other chemicals. By two separate show cause notices, they were called upon to show cause as to why the credit availed by them during the two different periods on "fully automatic control penels" should not be recovered from them on the ground that this item was not capital goods within t .....

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..... rting and changes automatically to running mode after few seconds. The authorities below held that since this item does not primarily produce or process any goods but is a motor starting equipment, it is not covered by the definition of capital goods. 2. Learned Counsel, Shri M.P. Devnath draws my attention to the order of the Tribunal in the case of CCE, Meerut v. Nav Bharat Paper Mills rep .....

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..... the switch in a panel board has been considered to be a part of the machines covered by the Explanation Clause 1(a), there is no reason to deny credit on the entire panel board itself. He further refers to the order of the Tribunal in the case of Commissioner of Central Excise v. Modi Xerox Ltd. (Order-in-Appeal No. E/1577 and E/1594/95-NB) wherein the benefit of Modvat credit under Rule 57Q has b .....

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