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TMI Blog2003 (3) TMI 240X X X X Extracts X X X X X X X X Extracts X X X X ..... ative for Revenue. The submissions made by both the learned Advocate and the learned Senior Departmental Representative and our findings are as under :- 3. Dumper, Hydraulic Excavator, etc. 3.1 The learned Advocate submitted that the dumper is used for transportation of limestone from the mines to their factory; that the Modvat credit has been denied on the ground that transfer of limestone from the mines to the manufacturing plant in the dumpers has got nothing to do with the manufacture of the final product; that in terms of Rule 57Q, the Credit is allowed if the capital goods has been used in the factory of the manufacture; that the dumpers have been used in the factory as the crusher is installed at the factory and the dumpers bring the limestone from the mines to the factory and unload the same in the crushers; that thus the condition in the Rule, regarding the use of the capital goods in the factory of the manufacturer is satisfied; that in the case of Jaypee Rewa Plant v. Commissioner of Central Excise, Raipur, the Tribunal vide Final Order No. A/86-87/2002-NB, dated 8-1-2002 has allowed the credit on the dumpers. Reliance has also been placed on the decisions in Malabar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sions of both the sides. Rule 57Q of the Central Excise Rules, 1944 allows the Modvat credit of the duty paid on the capital goods used by the manufacturer in his factory. It is admitted fact that button bit, hydraulic excavator and drilling machine are used by the Appellants in mines and not in their factory. Thus following the ratio of the judgment of the Apex Court in the case of Jaypee Rewa Cement, 2001 (133) E.L.T. 3 (S.C.), the Appellants are not eligible to take Modvat credit of the duty paid on these goods as the same are not used in the factory. 4.2 We find that dumper admittedly brings the limestone from the mines to the factory. It is thus apparent that dumper is not used in the factory. Merely because the dumper transports the raw material into the factory premises, it cannot be claimed by the Appellants that the same is used by them in their factory. The specific requirement of Rule 57Q, as interpreted by the Supreme Court regarding use of capital goods in the factory, is not satisfied. It is not the case of the Appellants that the dumper is used in the factory as material handling equipment. The ratio of the decision in the case of Rajasthan State Chemical Works is ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... le to the Modvat credit under Rule 57Q. 7. Light fittings It has been contended by the Appellants that as the entire cement plant is spread over a vast area with a continuous manufacturing process running round the clock, illuminating all plant is essential as working during night hours cannot be carried out and cement cannot be manufactured without the area being illuminated; that these light fittings are specially designed for industrial use and Modvat credit is available. We do not find any substance in the submissions. Light Fittings are neither any machine, machinery or equipment which is used in producing or processing any goods or for bringing any change in substance for the manufacture of the final products. The light fittings are not capital goods as per the definition given in Rule 57Q of the Central Excise Rules and as such no credit of the duty paid on such light fittings is allowable to the Appellants. However, the matter is remanded to the Adjudicating Authority to examine the submissions of the Appellants that the amount of duty involved is Rs. 1,16,945/- and not Rs. 1,69,945/- disallowed by the Commissioner in the impugned Order. 8. Closed Circuit Television S ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e available in respect of any of the machine, machinery, plant, equipment apparatus tools or appliance if these are used for producing or processing of any goods or for bringing about any change in any substance in the manufacture of final products. We, therefore, allow the Appeal in respect of transformer. 10. Pakaged Air-Conditioners The learned Advocate submitted that the production and the entire factory is run based on a direct control system from where the entire operations of the production etc. are controlled and monitored; that the air conditioner is installed in the said room, where the computer system is installed, which is used for monitoring the production; that the said room requires continuous monitoring of the temperature for which the air conditioner is installed; that as the maintenance of the temperature is essential for the manufacture of the final products, they are eligible to avail of Modvat credit of the duty paid on air conditioners. He relied upon the decision in the case of Commissioner of Central Excise, Chennai v. Spic Pharmaceuticals Division, 2001 (138) E.L.T. 929, Commissioner of Central Excise v. Ispat Alloys Ltd., 2001 (130) E.L.T. 903 and Comm ..... 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