9911796707
TMI Blog2001 (12) TMI 782X X X X Extracts X X X X X X X X Extracts X X X X ..... while by the same order he has given relief in respect of large number items. The Revenue is aggrieved over the grant of benefit in so far as the following items are concerned :- Cylinder valves and spindles falling under Chapter 84, (ii) Chlorine cylinders falling under Chapter 73, (iii) Aluminium Anode, (iv) Extension Cable, (v) Signal Cable and (vi) Omega Cable, falling under Chapter 85. 2. For the assessee SPIC factory, ld. Advocates S/Shri Ignatius and Muthu Venkat Raman appeared and contended that their appeal is required to be allowed and the Revenue appeal is required to be rejected for the following reasons : 3. They contend that in respect of rubber sheets, the Assistant Commissioner had denied the credit on the ground that t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... m was clearly used in the maintenance of Plant and machinery which were directly concerned in the manufacture of the final product. In the case of Synthetics and Chemicals (supra) LDPE black lay flat tubing was similarly used as an internal lining material only after cutting them to size and the item was held to be eligible for Modvat Credit. Therefore, I find that the same principle is involved in this case also. Under these circumstances, I find that the item is eligible for Modvat Credit under Rule 57Q. The order in original and the order in appeal impugned are therefore set aside and the appeal allowed with consequential relief. 4. As regards the claim on steel plates, the Counsels rely on the judgment rendered by this Bench in the c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d 12-4-2001 has considered the issue with regard to these two items and noting the Larger Bench judgment rendered in the case of CCE v. Surya Roshni [2001 (128) E.L.T. 293]; Jawahar Mills Ltd. [1999 (108) E.L.T. 47] and the Single Member Bench Order No. 2644/99, dated 24-9-99 as well as the judgment rendered in the case of Lupin Laboratories v. CCE as reported in [1998 (100) E.L.T. 52 (Trib.)] allowed the claim for Modvat credit in respect of cylinder valves and spindles. They also contend that as regards the other items on which the Revenue is agitating, i.e. on Aluminium Anode, Extension Cable, Signal Cable and Omega Cable, the issue is covered by the judgment of the Apex Court in the case of CCE, Coimbatore v. Jawahar Mills Ltd. [2001 (1 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... se. Therefore, the Apex Court judgment cannot be directly applied to the facts of this case. 8. Both the Counsels pointed out that the Tribunal has clearly and categorically gone into the question of eligibility of Modvat credit in respect of cylinder valves and spindles in their own case and have applied the ratio of the Larger Bench judgment and therefore, there is no question of distinguishing the same. With regard to the Apex Court judgment rendered in the case of CCE v. Jawahar Mills Ltd., the Counsels read out the judgment and pointed out that the issue was a larger one before the Apex Court and they had analyzed the terms capital goods and the tests to be satisfied. They contended that applying the very test pertaining to capital ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s granted. 10. I notice that the judgment of this Tribunal in their own case with regard to rubber sheet applies to rupture disc also as the functions of the item are similar. On further examination also, I notice that rupture disc plays an important function otherwise there will be leakage of chlorine stored in bulk from the storage tank. They are essential for the purpose of manufacture of the item and for its safety, therefore the said item is also eligible for the benefit of Modvat credit. 11. In so far as the claim for benefit on steel plate is concerned, I have perused the order passed by this Bench on this very item in the case of Madras Aluminium Co. Ltd. (supra). The Tribunal in para 11 of the said order have clearly conclude ..... X X X X Extracts X X X X X X X X Extracts X X X X
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