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TMI Blog2019 (10) TMI 222X X X X Extracts X X X X X X X X Extracts X X X X ..... cture. The respondents should consider the request of the appellants made by the letter dated 18th October, 2016 read with the departmental reply dated 11th November, 2016 in a proper proceeding constituted by the respondents, attended by the appellants and the departmental representatives, hearing them, taking into account various decisions and the observations made, within 4 months of communication of this order. Appeal disposed off. - MAT 1007 of 2018 - - - Dated:- 21-8-2019 - Mr I. P. Mukerji And Mr Md. Nizamuddin, JJ. For The Appellants : Mr. Abhijit Chatterjee, Sr. Advocate And Mr. Jaybrata Mishra For The Respondents : Mr. Somnath Ganguli And Mr. Bhaskar Prosad Banerjee ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... We are writing this letter strictly without prejudice to any of our rights and contentions. On 11th November, 2016 the Assistant Commissioner, Central Excise, Kolkata-V made the following reply: - The issue has been thoroughly scrutinised. The erstwhile rule 57K-57P of Central Excise Rules 1944 read with notification 45/89-CE (NT) dated 11/10/1989 prohibits the utilisation of credit in the clearance of any final product, other than the final product in relation to which such inputs were intended to be used in terms of the said scheme . As we understand from the submission made by Mr. Chatterjee, learned senior counsel appearing for the appellants, the appellants were manufacturing ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ime thereafter when making payment of excise duty on the excisable product. There is no provision in the Rules which provides for a reversal of the credit by the excise authorities except where it has been illegally or irregularly taken, in which event it stands cancelled or, if utilised, has to be paid for. We are here really concerned with credit that has been validly taken, and its benefit is available to the manufacturer without any limitation in time or otherwise unless the manufacturer itself chooses not to use the raw material in its excisable product. The credit is, therefore, indefeasible. It should also be noted that there is no co-relation of the raw material and the final product; that is to say, it is not as if credit can be ta ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pondents as regards relocation of the factory, after going through the provisions contained in Rules 57K to 57P and 174 of the Central Excise Rules, relied upon by Mr. Banerjee, I find that according to those provisions, goods cannot be manufactured without a licence. Those provisions demand that the manufacturing premises are to be specified in the plan while making application for licence. The licence authorises the licence holder to undertake manufacturing operation at the premises mentioned in the registration certificate. If one wants to operate manufacturing process from more than one premise, separate registration is to be made for each of those premises. The object of such separate registration is to ensure proper supervision by the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 57A sub-Rule (1) of the said rules had opined that the unutilised Cenvat credit on the inputs could be utilised for any other final product. This was approved in the New Swadeshi Sugar Mills case by the same court. This court on consideration of the notification dated 11th October, 1989 had ruled that Cenvat credit could be utilised in any unit of the same manufacturer. It did not lay down any ratio that the two final products could be different. It only said that manufacture could take place in different units of the same manufacture. The above Supreme Court decision on consideration of substantive Rule 57A sub-Rule (1) has pronounced the dicta that Cenvat credit can be utilised for manufacture of any final product of the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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