9911796707
TMI Blog2016 (12) TMI 1450X X X X Extracts X X X X X X X X Extracts X X X X ..... Shri Amresh Jain, A.R. for the Revenue ORDER Per Ashok K. Arya 1. M/s Aarti Sponge Power Limited is in appeal against the impugned order dated 30.12.2008 passed by the Commissioner, Raipur, whereunder cenvat credit of ₹ 73,19,594/- has been disallowed and equivalent penalty has also been imposed on the appellant. 2. The brief facts of the case are that M/s Aarti Sponge Power Ltd., the appellant, is engaged in the manufacture of products of Chapter 72 (sponge iron MS ingots).For manufacturing of its final product, appellant has used CTD Bars, Angles, Channels, Plates, Joists, Flats etc. in the manufacture (including technical structures) of Kiln, Heat Exchanger, Pollution Control Equipment, Chimney for ESP, Induct ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... vs. Associated Cement Company 2011 (267) ELT 55. 6. Ld. A.R. for the Revenue reiterates the findings given in the impugned order. 7. After careful consideration of the facts, the submissions of both the sides and the case laws cited, it appears that the subject matter is covered by the Hon ble Supreme Court decision in the case of C.C.E., Jaipur vs. Rajasthan Spinning Weaving Mills Ltd. (supra). In the said case, the Hon ble Supreme Court applied the User Test evolved by the Hon ble Supreme Court in the case of C.C.E., Coimbatore Ors. vs. Jawahar Mills Ltd. Ors. 2001 (132) ELT 3 (SC). The appellant has emphatically contended that the subject goods structural steel items were used for manufacturing Kiln, Heat Exchanger, Polluti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s within the purview of capital goods would depend upon the user it is put to. 13. Applying the user test on the facts in hand, we have no hesitation in holding that the steel plates and M.S. channels, used in the fabrication of chimney would fall within the ambit of capital goods as contemplated in Rule 57Q. it is not the case of the Revenue that both these items are not required to be used in the fabrication of chimney, which is an integral part of the diesel generating set, particularly when the Pollution Control laws make it mandatory that all plants which emit effluents should be so equipped with apparatus which can reduce or get rid of the effluent gases. Therefore, any equipment used for the said purpose has to be treated as an ..... X X X X Extracts X X X X X X X X Extracts X X X X
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