Modvat credit on refinery invoices upheld where goods moved directly from refinery and invoices remained valid for credit.

Modvat credit was admissible on invoices issued by the refinery, because the goods were received directly from the refinery in the same truck in which they left the refinery. The Tribunal treated the refinery's invoices as valid under Rule 52A and Rule 173G and held that the fact they were issued through the marketing division did not invalidate them for credit purposes.

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Issues: Whether Modvat credit was admissible on the strength of invoices issued by the Indian Oil Corporation, Mathura Refinery, and whether such invoices were invalid merely because they were issued through the marketing division.

Analysis: The invoices showed that the goods were received in the factory in the same truck in which they left the refinery, and the recipient had received the goods directly from the refinery. The Tribunal followed its earlier view that credit was rightly taken on the strength of invoices issued by the refinery as manufacturer under Rule 52A and Rule 173G, and saw no reason to differ from that view.

Conclusion: Modvat credit was held admissible and the invoices were treated as valid for the purpose of credit.

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