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TMI Blog2013 (4) TMI 409X X X X Extracts X X X X X X X X Extracts X X X X ..... , the same would be eligible for cenvat credit as input in the second case the same would be eligible for cenvat credit in the case of Ambuja Cements Eastern Ltd., (2010 (4) TMI 429 - CHHAITISGARH HIGH COURT ) and Hindustan Zinc Ltd. (2008 (7) TMI 55 - HIGH COURT RAJASTHAN) - impugned order denying the cenvat credit is not sustainable. H.R. Coil, M.S. Girder, G.C. Sheets, M.S. Channels, shape and section etc. - Held that:- The appellants plea with regard to evidence given in respect of use of these items has not been considered at all and simply a finding has been that these items are generally used for making of supporting structures for machinery and therefore would not be eligible for cenvat credit in view of the judgment of Vandana Glo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... were adjudicated by the Assistant Commissioner eight separate orders by which the cenvat credit demands mentioned above were confirmed alongwith interest and penalty of Rs. 10,000/- was also imposed on the appellant in each case. Against these orders passed by the Assistant Commissioner, appeals were filed before the Commissioner (Appeals), the details of which are given below:- Sl. No. Appeal No. & date O-I-O No. & date Amount of cenvat credit disallowed (Rs.) Goods on which credit has been disallowed Period 1 84/10 dt. 29.03.10 327/AC/MBD/2009 dt. 28.01.10 3,29,322/- H.R. Coil, M.S. Girder, M.S. Bar, Coils/ Wire Rod M.S. Plate and shape & section August 08 2 85/10 dt. 29.03.10 328/AC/MBD/2009 dt. 28.01.10 75,210/- Welding ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2. Heard both the sides. 3. Shri Alok Arora, Advocate, the ld. Counsel for the appellant, pleaded that so far as the welding electrodes and paint and thinner are concerned, the use of these items for repair and maintenance of capital goods is not disputed; that paints and thinners are specifically covered by the definition of input and since the same are used to protect the capital goods from rust, the denial of cenvat credit in respect of the same is incorrect; that welding electrodes used for repair and maintenance of the plant and machinery are eligible for cenvat credit in view of judgment of Hon'ble Chhattisgarh High Court in the case of Ambuja Cements Eastern Ltd. vs. CCE, Raipur reported in 2010 (266) ELT 690 (Chhattisgarh), and ju ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ormally used for supporting structure; that the ground on which the Cenvat credit has been denied in respect of steel items used in fabrication of machinery or parts thereof is totally incorrect, that when the steel items are used for fabrication of capital goods or parts thereof, the same would be eligible for Cenvat credit as input as definition of input, as given in Rule 2(k) of the Cenvat Credit Rules, 2004 also covers the items used for fabrication of capital goods for use in the factory except for the inputs used in fabrication of supporting structures, foundation etc; that the evidence regarding use of steel items in fabrication of sugar mill machinery and parts thereof has been produced by the appellant but the same has not been con ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ation of new machinery or its part or for repair and maintenance. While in the first case, the same would be eligible for cenvat credit as input in the second case the same would be eligible for cenvat credit in view of judgement of Hon'ble Chhattisgarh High Court in the case of Ambuja Cements Eastern Ltd., (supra) and judgment of Hon'ble Rajasthan High Court in the case of Hindustan Zinc Ltd. (supra). Though the Commissioner (Appeals) has relied upon the judgment of Tribunal in the case of SAIL vs. Commissioner, Central Excise, Ranchi reported in 2008 (222) ELT 233, the SLP against which has been dismissed by the Apex Court, I find that this judgment has been discussed by Hon'ble Chhattisgarh High Court in the case of Ambuja Cements Easter ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r fabrication of sugar mill machinery or its part, the same would be eligible for cenvat credit as input. The appellant in this regard has produced issue slip coupled with the certificate given by General Manager (Technical) countersigned by Chartered Engineer. In my view before rejecting the appellant's claim in this regard this evidence must be carefully examined for which this matter would have to be remanded to the original adjudicating authority. 9. In view of the above discussion while the Commissioner (Appeals)'s order denying the cenvat credit in respect of paints & thinners and welding electrodes is set aside, the order with regard to denial of cenvat credit in respect of H.R. coil, M.S. Bar, M.S. Plate, G.C. Sheets, M.S. Angles, ..... X X X X Extracts X X X X X X X X Extracts X X X X
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