https://www.taxtmi.com/caselaws?id=121083 Rule 57CC(1) applies only when the statutory conditions are established on facts, including manufacture of both dutiable and exempt products and use of common Modvat credit-availing inputs. Re-rubberising of old rollers was treated as repair or refurnishing, not manufacture, and the assessee had separate procurement for the repair activity without availing Modvat credit on those inputs. As the department did not verify, on any reliable factual basis, that common modvated inputs were used for re-rubberising, the condition for invoking Rule 57CC was not met. The duty demand and penalty were therefore not sustainable. en-us Thu, 09 Nov 2006 00:00:00 +0530 Thu, 26 Jul 2012 14:41:10 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=121083 Rule 57CC(1) applies only when the statutory conditions are established on facts, including manufacture of both dutiable and exempt products and use of common Modvat credit-availing inputs. Re-rubberising of old rollers was treated as repair or refurnishing, not manufacture, and the assessee had separate procurement for the repair activity without availing Modvat credit on those inputs. As the department did not verify, on any reliable factual basis, that common modvated inputs were used for re-rubberising, the condition for invoking Rule 57CC was not met. The duty demand and penalty were therefore not sustainable. Case-Laws Central Excise Thu, 09 Nov 2006 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=121083