9911796707
TMI Blog1999 (1) TMI 123X X X X Extracts X X X X X X X X Extracts X X X X ..... egistry had pointed out two defects by Defect Memo No. 352/93/CEGAT/Mas. and had issued defect notice calling upon them to rectify the same. The matter had been kept pending. A fresh notice was issued again on 22-9-1998. In response to the said notice, the learned Counsel filed a memo of rectification of defect, inasmuch as, the Order-in-Appeal was not attested. Therefore, the Registry numbered the appeal and has listed the stay application and appeal for hearing. 2. The learned Counsel submits that the issue lies on a short compass and being covered by the judgment of Tribunal in the case of C.C.E. v. Indian Aluminium Company Ltd. as reported in 1992 (59) E.L.T. 168 the denial of Modvat credit was due to some procedural lapse, therefore, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he appellants in its declaration under Rule 57G of the Rules, that both the electric motors and stators and rotors for the same are classifiable under the same Chapter 85 of the Central Excise Tariff Act and by using the same inputs and that the Central Excise Board themselves have clarified that as long as the inputs and final products were covered by the specified chapter under the Notification, credit of duty on the inputs would be available. They further submitted that under the provisions of Notification No. 175/86, dated 1-3-1986 issued under Rule 57A the department has not established that the appellant is not eligible to avail the Modvat credit of duty in respect of the inputs used in the production of stators and rotors forming c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... stinguishable as it did not lay down any principle, but non-filing of any declaration in circumstances where an intermediate product has been declared as final product. It is her contention that when the final product which was monoblock pump sets has been preceded with electric motors and that stators and rotors are necessary, when stators and rotors has been declared as final product, therefore, it followed that they were required to have filed a fresh declaration under Notification No. 117/88 (sic), dated 1-3-1986, although there is no dispute with regard to the use of intermediate products emerging and basic inputs of stamping wires being used. However, shifting of final product from monoblock pump sets to stators and rotors, they are r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... intervened period from 1-3-1988 (sic) to 17-4-1988, the appellants ought to have filed a fresh declaration in respect of final product namely stators and rotors and as there was a failure in this respect, they were not eligible to take Modvat credit. In my considered opinion, in this particular case, the view taken by the department is too technical. The reason being that there has been no change in the basic inputs used for manufacture namely the stamping wires, which is a starting point for the manufacture of stators and rotors, which were being used in the manufacture of electric motors, which was again used for the manufacture of monoblock pump sets and submersible pump sets, therefore, the department after granting the exemption to bot ..... X X X X Extracts X X X X X X X X Extracts X X X X
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