9911796707
TMI Blog2003 (9) TMI 585X X X X Extracts X X X X X X X X Extracts X X X X ..... learned Advocate, submitted that the Appellants had procured capital goods by entering into lease agreement with the financial institutions namely M/s. HDFC Ltd. and M/s. Sundaran Finance Ltd.; that HDFC only financed the cost of the capital goods and did not finance the Central Excise duty payable on such capital goods; that M/s. Sundaram Finance Ltd. financed the entire cost of the capital goods including the duty payable on such capital goods; that the Commissioner under the impugned Order has disallowed the Modvat credit on the ground that the Appellants had not submitted the copy of agreement or requisite Certificate of the finance company before availing the Modvat credit of the duty paid on the capital goods; that the Commissioner ha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... v. Bhushan Steel and Strips Ltd., Final Order Nos. 381-82/2003-NB(C), dated 17-1-2003 and M/s. Diesel Locomotive Works v. CCE, Allahabad Final Order No. A-354/2003, dated 23-6-2003 wherein the demand was held to be time-barred on the ground that the assessee had filed RT Returns along with the statutory records. 3. On merit, learned Advocate, submitted that the credit of the duty was availed on the strength of valid duty paying documents; that further, there is no dispute regarding the actual receipt of the capital goods and its use in the manufacture of dutiable finished products; that non-furnishing of the agreement/Certificate is only procedural lapse in nature, for which reason the credit cannot be disallowed; that in case of the good ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tmental Representative submitted that the appellants have not submitted the agreement and/or Certificate to the Department; that it is the requirement under Rule 57R(3) that the credit of the specified duty paid for the capital goods shall be allowed to a manufacturer if the capital goods are acquired by the manufacturer only on lease, hire purchase or on loan agreement from the financing company subject to the condition that the manufacturer who has entered into a financial agreement shall produce the copy of the agreement entered into by him with the financial company in cases where the finance company is financing all costs of the capital goods excluding the duty; that in respect of finance company financing the cost of the capital goods ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he invoices have been duly defaced by the Range Officer in token of authenticating the Modvat credit availed of by them. In similar facts and circumstances, the Tribunal has held in the case of German Remedies (supra) that the extended period of limitation is not invokable. Similar views have been expressed in other decisions relied upon by the learned Advocate. As per provisions of Rule 57U(2) of Central Excise Rules, 1944, the extended period can be invoked only when the credit of duty under Rule 57Q has been taken on account of fraud, wilful misstatement, suppression of facts, etc. As there is no suppression of facts, as RT 12 Return along with invoice were submitted, the demand is hit by time-limit specified under Rule 57U. We, therefor ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
