1997 (12) TMI 442

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..... Member (J)]. The issue in the appeal relates to benefit of Modvat credit in respect of Hydraulic excavator used in the mine. 2. Shri V.K. Dorairaj, learned Counsel for the appellants contended before us that Hydraulic excavator is used in the mines which are adjacent to the factory for mining limestones. He contended that the limestones are crushed into smaller size and this smaller limes .....

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..... as drawn to our decision vide Order No. 2472 to 2477, dated 11-7-1997, 1998 (99) E.L.T. 395 (Tribunal). After going through the decision he stated that the facts in that case are similar to the facts in the appellants case. However, he pointed out that in that case it was not clear whether crushing was not in the mines premises or not. 3. Heard Shri S. Murugandi, the learned DR. He also drew o .....

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..... e concerned notification with which their lordships were dealing with and not in respect of Modvat credit. In the present case, provisions of Rule 57Q are to be looked into as in the case decided by the Tribunal in their decision dated 11-7-1997 cited supra. At para 5, the Tribunal has observed as follows : 5. We have considered the pleas made by both the sides. We observe that the first point .....

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..... facturing activity is carried out and the precincts thereof also where the manufacturing activity is carried out. The appellants have been issued a licence for the manufacture of the cement in the factory and, therefore, the areas which are relatable to the activity of the manufacture of the cement will alone be taken to be covered under the definition of cement. For that purpose, we have to cons .....

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..... nerate the raw material, unless this generation is connected to the process of manufacture of the commodity, it cannot be taken to be integral to the process of manufacture of the notified finished product. In the above view of the matter, the benefit of the Modvat credit as claimed has to be denied . 6. A perusal of the above observation clearly goes to show that we have dealt with exactly a si .....

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