2004 (4) TMI 335

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....or the Appellant. Ms. K.A. Mishra, SDR, for the Respondent. [Order per : C.N.B. Nair, Member (T)]. - This appeal is directed against denial of Modvat credit of about Rs. 2 crore on capital goods and imposition of equal amount as penalty. The capital goods in question are Band Building Machine and Triplex Extrusion Line Machine. The ground taken for the denial of credit is that, credit was....

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....isable goods, in the factory of the manufacturer as certified by such manufacturer or a person designated by him for this purpose." 3. It is clear from the above that credit is to be taken subsequent to either the date on which such capital goods are installed or, date from which used for manufacture of excisable goods, in the factory of the manufacturer. The sub-rule also makes it clear f....

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....for manufacture of any intermediate or final product, the credit cannot be taken until such machines or machinery have been installed or actually used for such purposes." 5. Facts noted in the adjudication order are that the appellant had taken credit in respect of Band Building Machine on 11-6-1998, while its installation was on 16-5-1998. Similarly, credit was taken in respect of the Tri....