2011 (6) TMI 420

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....AIYAN This is an appeal against the order of the Commissioner (Appeals) No.09(DK)CE/JPR-II/2009 dated 22.1.2009. 2. Heard both sides. 3. The appellants received transformers in the year 2004 and availed cenvat credit of Rs.60,726/- as applicable to capital goods. They used the transformers for more than ten years and sold the same in May,2005 for a sum of Rs.1,80,356/- and paid excise duty amou....

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....ELT 548 and decison in the case of Cummins India Ltd. vs. CCE, 2007 (219) ELT 911. 5. Learned SDR reiterating the findings and reasoning of the Commissioner (Appeals), submits that the duty payable on goods cleared as such should be equal to the credit originally taken. In this regards, he relies on the decision of the Larger Bench of the Tribunal in the case of Modernova Plastyles Pvt. Ltd. vs. ....

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....s transformer cannot be accepted. Interpretation sought to be placed by the department in effect, would lead to a situation no credit is allowed in spite of the fact the capital goods were undisputedly used for more than ten years for the intended purpose. Therefore, it should be treated as clearance of transformer as scrap as claimed by the appellants and the appellants have undisputedly paid dut....