1999 (11) TMI 633

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..... r the Respondent. [Order]. - In this Revenue appeal against Order-in-Appeal Nos. 329 to 337/97 (CBE) 188 to 191/97 (MDU) 111/97 (T), dated 30-9-1997 passed by the Commissioner (Appeals), the Revenue raises the issue of eligibility of the following items to Modvat credit under Rule 57Q : (i) Cylindrical grinder (ii) P.D. pumps 2. The learned DR submits that both these items are .....

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..... .T. 323 (Tribunal), wherein grinding wheels were allowed the benefit of Modvat credit under Rule 57A. With respect to P.D. pumps he submits that the issue is again covered by the Tribunal's decision in the case of Everady Industries India Ltd. v. CCE as reported in 1997 (93) E.L.T. 580 (Tribunal), wherein it was held that the pump used for pumping Zinc Chloride Solution as well as for regulating f .....

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..... as capital goods under Rule 57Q, there being sufficient nexus with the manufacturing activity. As far as the P.D. pump is concerned, it is required for pumping the lubricant into the machine tool which cuts the steel wires produced. Here again since the cutting of steel wire is also necessary, therefore, I find that the pumping of lubricant required for this cutting has a direct nexus with the ma .....

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