1996 (7) TMI 271

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....manufacture of goods falling under Tariff Items 8714, 8708, 8529 and 8513 of the Central Excise Tariff Act, 1985. The appellants are availing credit facility on the strength of the declaration filed by them under Rule 57G. While checking the RT 12 returns for the month of February, 1994, the Central Excise officers observed that the appellants have availed Modvat credit amounting to Rs. 20,793/- on the basis of photocopy of the Gate Pass No. 0723, dated 25-1-1994. The Department alleged that since the appellants did not have the original duty paying documents, they were not entitled to avail credit of duty paid on inputs under the Modvat scheme in respect of this photocopy of the gate pass. Accordingly, a show cause notice was issued to the....

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....e judgment of this Tribunal in the case of SBS Organics Pvt. Ltd. reported in 1990 (45) E.L.T. 701 (Tribunal) = 1990 (26) ECR 412. In support of his contention that Modvat credit cannot be denied in routine or by mechanical approach even if documentation is defective so long as duty has been paid on inputs. 4A. Shri Y.R. Kilaniya, the learned DR appeared for the respondents and submitted that Rule 57G(4) stipulates "A manufacturer of the final products shall submit to Supdt. of the Central Excise the original documents evidencing the payment of duty along with extracts of Parts I and II of Form RG 23A every month and the Supdt., Central Excise shall after verifying their genuineness, deface such documents and return the same to the ....

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....puts under the Modvat scheme was taken on the strength of photocopy of the GP 1. The appellants could not produce original document as the same was reported to be misplaced/lost. In the circumstances, I shall have to examine as to what the legal position and the case law on the subject was I find that the case law cited and relied upon by the appellants pertains to the period prior to 1-2-1990. I also observe that sub-rule (4) of Rule 57G was amended w.e.f. 1-2-1990. I also find that in the original rule prior to 1-2-1990, the word `original' was not there whereas in the amended rule effective from 1-2-1990, the word `original' was added. Thus in terms of the legal position, the original documents were required to be sent along with RT 12 r....