9911796707
TMI Blog2005 (5) TMI 216X X X X Extracts X X X X X X X X Extracts X X X X ..... ble scrap and MS Ingots classifiable under Chapter Heading 72.15, 72.03 and 72.06. For the period prior to 1-3-86, the inputs received by them fell for classification under Tariff Item 25. The assessees were clearing their final products without obtaining Central Excise licence and without payment of duty. On 23-9-1986 the factory premises of the assessees were visited by the Central Excise Officers and a case of evasion of duty in respect of steel angles and bars manufactured and cleared during the period 1-8-83 to 31-8-86 was booked against them and show cause notice dated 15-7-88 raising duty demand of Rs. 20,97,358/- in respect of clearances of angles and bars without payment of duty during the period above mentioned and proposing confi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed by him that waste and scrap falling under Tariff Heading 72.03 is not mentioned in the inputs column. Therefore, waste and scrap falling under the said heading and received by the appellants would not be entitled to the benefit of said notification. However, in respect of this inputs, the appellants would be entitled to the benefit of Modvat credit as pleaded by the ld. Advocate because it is duty paid. Since however this point was not taken by the appellant before the lower authorities therefore this limited aspect of entitlement of Modvat credit of duty paid inputs falling under Heading 72.03 is to be adjudicated upon by the adjudicating authority after taking into account the evidence and facts available on record. 8. In vie ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ered the claim for proforma credit cleared on inputs prior to 1-3-86 and denied it on the ground that the evidence of payment of duty was produced. Although the appeal contends that proforma credit should be given, this specific finding of the Commissioner is not challenged. We are not able to accept the contention of the appellant that the Tribunal has said that bars and angles produced out of waste, sheets, lumps, blocks and slabs were entitled to exemption under Notification 208/83. The Tribunal's order in fact does not contain any reference to such goods. We have already reproduced the substantive part of the Tribunal's order. 5. However, we find that after allowing the Modvat credit the Commissioner has confirmed the duty pro ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he confirmation of demand for this period by the Commissioner in the present impugned order cannot be sustained and is hence set aside. For the period subsequent to 1-3-86, the Tribunal in its order dated 5-5-98 held that waste and scrap falling under Heading 72.03 is not mentioned in the order specifying the inputs (waste and scrap) falling under this heading and the assessee could not be held to be entitled to the benefit of exemption from payment of duty in terms of Notification No. 208/83-C.E. However, the Tribunal held that the assessee would be entitled to the benefit of Modvat credit, because these inputs were duty paid. The assessees' submission that in respect of other consignments of inputs, which are not falling under Heading No. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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