Modvat credit on grinding wheels upheld as a possible view; no referable question of law arose.

The Tribunal's allowance of Modvat credit on grinding wheels was upheld because it adopted a possible view already supported by an earlier High Court decision, and the credit was found admissible under the relevant rules. No legal error warranting a reference was shown, so no referable question of law arose under the Central Excise Act. The revenue's challenge therefore failed, and the Tribunal's view remained undisturbed.

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Issues: Whether any referable question of law arose from the Tribunal's order allowing Modvat credit on grinding wheels.

Analysis: The Tribunal had followed its earlier decision, and the Court noted that a similar view had already been taken in an earlier decision of the same Court. On that basis, the Court held that the Tribunal's approach was a possible view and that, in any event, the credit remained admissible. As no legal error warranting reference was shown, the petition seeking a reference under the Central Excise Act was not maintainable on the merits of the question raised.

Conclusion: No referable question of law arose for opinion of the Court, and the petition was dismissed.

Final Conclusion: The revenue's challenge to the grant of Modvat credit failed, and the Tribunal's view was left undisturbed.

Ratio Decidendi: Where the Tribunal adopts a possible view on Modvat eligibility and the credit remains admissible under the relevant rules, no referable question of law arises for a reference.

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