https://www.taxtmi.com/caselaws?id=100820 Modvat credit was held admissible on Metaquench 42, Koolkut oil 40 and Rustop because their use formed part of the manufacturing process: Metaquench 42 functioned as quench oil for tempering metal, while Koolkut 40 and Rustop prevented rust and corrosion of bearings. Denial of credit on the ground that the goods were not essential for manufacture was rejected as overlooking the technological requirement of the process. As the goods were established as used in manufacture, credit was allowed and the penalty could not be sustained, so it was set aside. en-us Tue, 20 Nov 2001 00:00:00 +0530 Tue, 07 Feb 2012 12:12:51 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=100820 Modvat credit was held admissible on Metaquench 42, Koolkut oil 40 and Rustop because their use formed part of the manufacturing process: Metaquench 42 functioned as quench oil for tempering metal, while Koolkut 40 and Rustop prevented rust and corrosion of bearings. Denial of credit on the ground that the goods were not essential for manufacture was rejected as overlooking the technological requirement of the process. As the goods were established as used in manufacture, credit was allowed and the penalty could not be sustained, so it was set aside. Case-Laws Central Excise Tue, 20 Nov 2001 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=100820