2000 (3) TMI 823

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....hri Muthuvenkatraman, Advocate, for the Respondent. [Order]. -  In this Revenue's appeal, the simple question involved is whether air-conditioners required for maintaining the proper environment in pharmaceutical industry in the area where the pharmaceutical products are actually manufactured would qualify as capital goods under Rule 57Q or not. While Revenue contends that these air-con....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ot eligible for Modvat credit under Rule 57Q, air-conditioners being similar items are only controlling the environment, would also therefore not qualify for Modvat credit and hence the order impugned needs to be set aside. 3. Heard Shri S. Muthu Venkatraman, ld. Advocate for respondents who submits that the question of whether environmental control equipment used in the manufacturing plan....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....r-conditioners are not used in any office premises of the respondents. They are only used to control the environment there in the plant where the manufacturing activity of pharmaceuticals is carried on. It is also not disputed by either side that the Drugs Control Order requires sanitised environment where these drugs are manufactured. I, therefore, find that such control over the environment has ....