9911796707
TMI Blog1999 (11) TMI 287X X X X Extracts X X X X X X X X Extracts X X X X ..... at credit in respect of capital goods, i.e. components, spare parts and accessories brought into factory, which were used in the machinery installed prior to 1-3-1994 were admissible for Modvat credit. The Assistant Commissioner in the independent Orders-in-Original while granting the benefit of Modvat credit, applied the ratio of the Tribunal rendered in the case of C.C.E., Rajahmundry v. SBCH Ltd. Dowleswaram - Order No. 627/97, dated 7-3-1997 wherein it has been held that Rule 57Q(1) identifies the ranges of goods which are eligible for the benefit of the credit. It has been further held that there is nothing in the rule to suggest that in case the parts are used on machines which were not eligible capital goods by reason of installation ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... bmits that he was directed by Shri P.S. Murthy, Additional Commissioner of Commissionerate-I to go over to CEGAT and to report to SDR. He submits that the SDR in the morning directed him to appear in the Court and defend the department in these matters. He also submits that he has gone through the file and prays for stay of the operation of the Commissioner's orders and to decide the case in favour of the department in terms of the grounds made out by the Commissioner in the respective appeals. 4. On a particular query from the Bench as to whether he has received any orders of posting from the Board of Central Excise to appear in these matters, Shri Shankar submits that he was only asked by his Additional Commissioner to report to SDR ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ratio of the judgments given in the earlier cases. I have perused the Orders-in-Appeal and notice that the Commissioner (Appeals) was required to have been answered only on question of law as to whether Modvat was required to be granted to the capital goods, i.e., components, spare parts and accessories brought into the factory, which were used in the machinery installed prior to 1-3-1994. There was no requirement to examine each of the item as there was no dispute of the same before the Assistant Commissioner. The memorandum of appeal does not dispute about it and does not bring forth how each of the item is different from the facts narrated by the Commissioner/Assistant Commissioner in the respective orders. Therefore, I do not find that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... application filed by the Commissioner of Central Excise, Guntur and the Hon'ble Tribunal has held therein that the credit is admissible on the said components, spares and accessories. Similar view has been taken by the Hon'ble Tribunal in the case of M/s. Smithkline Beecham Consumer Health Care Ltd., vide Order No. 627/97, dated 7-3-1997 and in the case of M/S. Raja Rajeswari Paper Mills Ltd., vide Order No. 633/97, dated 16-1-1997. I fully agree with the reasoning given by the Hon'ble Tribunal in the said decisions. The definition of capital goods under Rule 57Q covers components, spare parts and accessories used in the machinery which in turn is used for producing or processing of any goods. The only condition under the erstwhile Rule 57 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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