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TMI Blog2013 (5) TMI 264X X X X Extracts X X X X X X X X Extracts X X X X ..... whether an input is eligible for cenvat credit what is relevant is whether its use is commercially expedient and what ought to be used is not relevant. Since with defective machinery, leaking pipes and tubes and leaking tanks manufacturing operations are not commercially possible and regular repair and maintenance is an essential activity for smooth manufacturing operation, the inputs used for repair and maintenance of the plant and machinery would be eligible cenvat credit. In favour of assessee. - 491 of 2009-SM - - - Dated:- 25-3-2013 - Shri Rakesh Kumar, J. For the Appellant: Ms. Shweta Bector, DR For the Respondent: Ms Rashi Sureka, Advocate JUDGEMENT Per: Rakesh Kumar: The point of dispute in both these appeals ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... repair and maintenance of plant and machinery has been correctly denied. 4. Ms. Rashi, Advocate, the ld. Counsel for the appellant, pleaded that the issue involved in this case stands decided in favour of the respondent by the 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), judgment of Hon ble Rajasthan High Court in the case of Hindustan Zinc Ltd. vs. Union of India reported in 2008 (220) ELT 517 and the judgment of Karnataka High Court in the case of Alfred Herbert (India) Ltd. reported in 2010 (257) ELT 29 (Kar.); that Calcutta High Court in the case of Singh Alloys Steel Ltd. vs. Assistant Collector of Central Excise reported in 19 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... h manufacture and the question of nexus has to be determined on the basis as to whether without use of that item, manufacture, though theoretically possible, is commercially feasible. Hon ble Calcutta High Court in the case of Singh Alloys Steel Ltd. vs. Asstt. Collector of Central Excise reported in 1993 (66) ELT 594 (Cal.) has also held that for determining the question as to whether an input is eligible for cenvat credit what is relevant is whether its use is commercially expedient and what ought to be used is not relevant. Since with defective machinery, leaking pipes and tubes and leaking tanks manufacturing operations are not commercially possible and regular repair and maintenance is an essential activity for smooth manufacturing o ..... X X X X Extracts X X X X X X X X Extracts X X X X
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