TMT bars for Mega Power Project under international competitive bidding exempted from Central Excise duty per N/N. 6/2006-CE

M/s Ramsarup Utpadak, Unit II Versus Commissioner of Central Excise, Kolkata III

M/s Ramsarup Utpadak, Unit II Versus Commissioner of Central Excise, Kolkata III - TMI Issues involved: Appeal against denial of cenvat credit, imposition of penalty, and recovery of interest.

Summary:
1. The appellant supplied TMT Bars at nil rate of duty to a Mega Power Project, claiming exemption under Notification No.21/2002-Cus. A show-cause notice alleged non-payment of Central Excise duty during a specific period.
2. The appellant acted as a sub-contractor for supplying steel for the project, but the goods were not covered under the exemption notification, leading to denial of exemption.
3. The appellant contended that the goods were supplied against international competitive bidding for a Mega Power Project, citing precedents to support their claim.
4. The Tribunal found in favor of the appellant, stating that denial of exemption was not legally sustainable based on previous decisions and fulfillment of conditions except for classification under the Customs Notification.
5. The Tribunal observed that the goods were used for Mega Power Projects through international competitive bidding, entitling the appellant to the claimed exemption.

Conclusion: The impugned order was set aside, and the appeal was allowed based on the appellant's entitlement to exemption under the relevant notifications.