2003 (12) TMI 483

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....cate, for the Appellant. Shri R.C. Sankhla, SDR, for the Respondent. [Order per : V.K. Agrawal, Member (T)]. - In these two appeals the issue involved is whether M/s. Grasim Industries were eligible to take Modvat credit of the entire duty paid on capital goods in 1999 which was availed by them in 2001. 2. Shri B.L. Narasimhan, learned Advocate, submitted that the Appellants had i....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....r (Appeals) under the impugned Order has held that the Modvat credit cannot be denied to the Appellants where the duty paid character of the goods and their receipt and use within the factory is not disputed; that the Commissioner (Appeals), however, restricted the availment of Credit to 50% in a financial year holding that in terms of existing Cenvat Credit Rules only 50% of the total credit admi....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....les came into effect; that the rule applicable in the present matter is Rule 57AG which is a transitional provision; that according to this rule any amount of credit earned by a manufacturer under Rule 57A, 57B or 57Q, as they existed prior to 1-4-2000 and remained unutilised on that day shall be allowable as Cenvat credit to such manufacturer and allowed to be utilised in accordance with the rule....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ds even as per the impugned Order in the subsequent financial year i.e. 2002-03. Finally he mentioned that the Modvat credit amounting to Rs. 88,266/- has also been disallowed to the Appellants in respect of Fuzzy Control Equipment which the Appellants undertakes to pay immediately. 4. Countering the arguments Shri R.C. Sankhla, learned SDR, reiterated the findings as contained in the impu....