2004 (6) TMI 480

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..... Shri K.K. Anand, Advocate, for the Respondent. [Order per : S.S. Kang, Member (J)]. -  Revenue filed this appeal against the order-in-appeal whereby the Commissioner (Appeals) allowed the appeal and dropped the demand. 2. The respondents are engaged in the manufacture of Plastic Storage Tanks. The Plastic Storage Tanks up to the capacity of 300 Litres are exempted from paym....

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....rom the factory without payment of duty. 4. The Commissioner (Appeals) in the impugned order after relying upon the decision of the Hon'ble Supreme Court in the case of M/s. Chandrapur Magnet Wires Pvt. Ltd., reported in 1996 (81) E.L.T. 3 (S.C.) held that the respondents reversed the credit in respect of the inputs used in the manufacture of exempted products. Therefore, demand is not sus....

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.... per the decision of the Hon'ble Supreme Court the reversal of credit is sufficient in respect of the inputs contained in the exempted goods as the appellants are producing exempted as well as dutiable goods using the same material. The respondents' contention is also that the Revenue is not disputing the presence of scrap and the inputs contained the material under processing as the factory was w....