9911796707
TMI Blog2002 (1) TMI 994X X X X Extracts X X X X X X X X Extracts X X X X ..... he respondents manufacture Cotton Yarn Synthetic Staple Fibre Yarn falling under Chapters 52 and 55 of the Schedule to the Central Excise Tariff Act, 1985. They are also availing the Modvat credit on the inputs as well as the capital goods in terms of provisions of Rules 57A and 57Q of Central Excise Rules, 1944 respectively. The Commissioner (Appeals), Bhopal vide his Order dated 17-7-2000 ha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... The sliver can is an accessory to the processing machinery for the collection of slivers during the stage of their manufacture. The humidifier is used for creating and maintaining the environmental humidity around the material which is essential for the manufacturing process. It is observed that all these items are appropriately covered under the definition of capital goods under the Explanation ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ntests these arguments and submits that this item is appropriately covered and not excluded in terms of the Explanation under Rule 57A. In support of this contention, he has relied on the decision of the Hon ble Patna High Court at Ranchi in the case of C.C.E., Patna v. Tata Engineering Locomotive Co. Ltd. - 1999 (111) E.L.T. 9 (Pat.) and the decision of the Tribunal in the case of C.C.E., Bhopa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t in the case of Jawahar Mills Ltd. referred to supra. The ratio of the judgment of Patna High Court in TELCO case as cited before me would therefore get superseded by the ratio of judgment of the Apex Court in Jawahar Mills case. In view of this, therefore, the appeal of the Revenue regarding inadmissibility of the Modvat credit on cots and aprons under Rule 57A as input items merits to be admitt ..... X X X X Extracts X X X X X X X X Extracts X X X X
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