2000 (9) TMI 367

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..... m, Member (J)]. The issue for decision in this appeal is the admissibility of Modvat credit under Rule 57A of the Central Excise Rules, 1944 on defective/rejected polyester films manufactured and cleared by the appellants herein but returned to them by their customers. 2. On hearing both the sides, we find that the issue stands settled in favour of the assessees by the two decisions of the .....

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..... back for re-processing and then cleared once again. In the present case, defective polyester films were returned to the appellants herein; re-cycled and fresh polyester film was manufactured out of the recycled material, thus involving a process of manufacture. The ratio of the Larger Bench decision is directly applicable to the facts of the present case and therefore, following the same, we set a .....

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