9911796707
TMI Blog2009 (5) TMI 662X X X X Extracts X X X X X X X X Extracts X X X X ..... elevant facts of the case, in brief, are that the assessees are engaged in manufacture of Sugar, Molasses and Ethyl Alcohol classifiable under Chapter 17 of the Schedule to the Central Excise Tariff Act, 1985. During the year 2004-05 the assessee availed 50% of credit on capital goods namely, Molasses mixture/Diluter Safety System (heading 73.26) and Aluminium Coils (Sub-heading 7606.20). The original authority denied the credit on the said capital goods which was upheld by the Commissioner (Appeals). Hence, the assessee filed appeal No. E/1837/07. 2. The assessee again availed balance 50% credit on capital goods on the said items in the year 2005-06. The original authority again denied the credit on the said item. But, the Commissioner ( ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... for mixing water and molasses at required specific gravity ready for fermentation process, Molasses Diluter for admixing molasses and water for re-circulation, Safety System used for securing safe operation etc. These items are being used as parts and accessories of the Machine/Machinery of Chapter 84 and fall under the category of capital goods under Rule 2(a)(A)(iii) of the Cenvat Credit Rules, 2004. 5. Learned Advocate submits that Aluminium Coil is part of cooling system. Use of the item as recorded in the impugned order is reproduced below :- As regards Aluminium Coils, it was contended that the same has been cut and wrapped on the outside wall of the distillation column to save energy loss, maintain optimum temperature of 32-33 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s above, the substantive right of the Cenvat Credit of the Appellants cannot be denied. 7. Learned D.R. submits that the Commissioner (Appeals) in earlier order denied the credit on the said item and, therefore, the subsequent order-in-appeal is liable to be set aside. I am unable to accept the submission of the learned D.R. In earlier Order dated 19-4-2007 Commissioner (Appeals) observed that Molasses mixture/Dilute Safety System is a part of system of mixing of Molasses. It is seen that system of mixing of molasses is part of sugar manufacturing system. It is further observed that Aluminium Coil is used for obtaining optimum temperature in cooling system. I find that in the same Order-in-Appeal, Commissioner (Appeals) allowed credit on ..... X X X X Extracts X X X X X X X X Extracts X X X X
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