2002 (2) TMI 1128

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....handran, JDR, for the Respondent. [Order]. - For the purpose of hearing the appeal, the appellants are required to pre-deposit a sum of Rs. 1,74,178/- (Rs. 1,41,065/- + Rs. 33,133/-) which has been demanded under Rule 57-I of Central Excise Rules, 1944 read with Section 11A of the Central Excise Act, 1944. They are also required to pre- deposit Rs. 15,000/- imposed as penalty under Rule 173Q....

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.... M/s. Bhavani Textile Processors (P) Ltd. under the cover of challans under Rule 57F(4) of the Central Excise Rules, 1944 after debiting the duty amount equivalent to 10% of the value of the desired partially processed intermediate product/inputs. He further submits that the job worker, instead of consigning the inputs under the cover of duplicate challans without payment of duty, has actually pai....

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....s. They have not taken the Modvat credit twice as alleged in the show cause notice and as held by both the authorities below. They have taken the Modvat on the inputs finally and the credit of the debit of 10% initially done to cover the despatch of the partially covered processed inputs to me job workers. The duty paid by the job workers, though they were not required to pay can be taken as input....

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....the Tribunal decision rendered in the case of CCE v. Konark Wires (P) Ltd. reported in 1995 (77) E.L.T. 315 (T) wherein it was held that duty payable by the job workers as well as the CVD and this can be taken as credit by supplier of materials subject to the verification that the job workers have not taken the credit. He, therefore, submitted that they have taken Modvat credit on the inputs which....