1997 (10) TMI 263

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.... on lubricating oil, Hydraulic oil and Gear oil which do not go in the stream line of production of final product and the functional use of which is lubrication of machines only." By the subject order, the Tribunal held that the items in question were eligible for the benefit of Modvat credit and allowed the appeal upholding the claim of the appellants who are respondents in this Reference matter. Objection was that these oils were not used in relation to the manufacture of their final product, copper strips/foils, and aluminium articles and that such use was for protecting the products from developing cracks as also to render the product smooth besides rendering the machines installed in the factory operational. The stand of the lower a....

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....g the requirement of Rule 57A he contended and added that no question of law has arisen out of the Tribunal's order. 4. I have considered the submissions. I have perused the record. The main thrust in the application is that the oils in question do not go into the stream line of production but are used for lubricating purposes only and not in relation to the manufacture of the final product. I find that the preset order of the Tribunal followed an earlier order of this Bench as well as that of the Larger Bench. The former was in Pragati Paper Mills (P) Ltd. v. Collector of Central Excise, Meerut reported in 1996 (88) E.L.T. 137 wherein it was held that lubricating oil is an eligible input for the purpose of Rule 57A for availing Mod....