2002 (2) TMI 952

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....SDR, for the Respondent. [Order]. - This appeal filed by the assessee is against the order of the Commissioner (Appeals) whereby Modvat credit under Rule 57Q of the Central Excise Rules, 1944 was denied to the appellants for the period December, 1994 to June, 1995 on the ground that the goods on which the credit was taken were not covered by the definition of capital goods under the said rule. ....

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....for consideration. 3. Out of the 7 items, two items viz. PVC Wires and Cables and Automatic Voltage Stabilizer are electrical goods concerned with the supply of electricity to the manufacturing plant and such goods have been held to be modvatable under Rule 57Q by the Supreme Court in the case of CCE v. Jawahar Mills Ltd. [2001 (132) E.L.T. 3 (S.C.)]. Following the Supreme Court's decision, ....

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....nd, therefore, could not be considered as integral part of plant, machinery or equipment used for manufacture of the final products. The impugned order cannot be accepted as a speaking order. The aspect of use of the goods has necessarily to be examined carefully as mandated by the Supreme Court in Jawahar Mills (supra). 4. I set aside the impugned order to the extent it relates to the items....