2002 (6) TMI 419

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....s duty leviable - they paid additional duly of Customs (CVD) and paid further additional duty of Customs by virtue of Notification No. 356/76-Cus., dated 2-8-76 which is equal to the Excise duty leviable on the material viz. synthetic filament yarn used in the manufacture of webbings. They availed the Modvat credit of the additional duties of Customs (CVD) and also the additional duty paid in terms of Notification No. 356/76-Cus., dated 2-8-76 on the material used in the manufacture of the imported articles as inputs in terms of Rule 57A of the Central Excise Rules, 1944. However, they were issued a show cause notice dated 13-2-95 by the Assistant Collector of Central Excise, Bangalore-VIII Division alleging that they have contravened the p....

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....The Additional duty under Section 3 of the Customs Tariff Act, 1975 equivalent to; (a) The duty of Excise specified under (i) above and (b)  The duty of Excise specified under (ii) above It is contended that the additional duty imposed under Notification No. 356/76-Cus., dated 2-8-76 is also levied under sub-section (3) of Section 3 of Customs Tariff Act to counter balance the excise duty leviable on any raw materials/components and ingredients used in the production or manufacture of the imported articles and that the Modvat credit of the same would be admissible in terms of sub-clause (a) of Clause (iii) of the aforesaid Notification No. 5/94-C.E. (N.T.), dated 1-3-94. 5. Shri L. Narasimha Murthy, JDR has reiter....