2013 (4) TMI 410

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....t is Rs. 1,05,604/-. The department being of the view that the appellant are not eligible for cenvat credit in respect of welding electrodes and rent a cab service, issued show cause notice for its recovery alongwith interest and imposition of penalty. The original adjudicating authority vide order-in-original dated 30.10.2009 confirmed the cenvat credit demand of the above mentioned amount alongwith interest and imposed penalty of equal amount. On appeal being filed to Commissioner (Appeals) against this order of the Assistant Commissioner, the Commissioner (Appeals) vide order-in-appeal dated 31.05.2010 while upholding the cenvat credit demand set aside the penalty. Against this order of the Commissioner (Appeals), while the appellant M/s....

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....the Tribunal's judgment in the case of SAIL vs. Collector reported in 2008 (222) ELT 233 and also Apex Court order in the case of same case reported in 2008 (229) ELT A127 (SC) dismissing the SLP as this judgment of the Tribunal and also the Apex Court order dismissing the SLP was discussed by Hon'ble Chhattisgarh High Court in the case of Ambuja Cement Eastern Ltd. and High Court has observed that dismissal of SLP without giving any reason does not lay down any law and that in view of these submissions, the impugned order denying the cenvat credit in respect of welding electrodes and rent-a-cab services used for transportation of employees from residence to factory and back, is not sustainable. He also pleaded that in view of this there is....

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....anufacture is not relevant for deciding the eligibility for the cenvat credit of the inputs used for repair and maintenance, as for this purpose what is relevant is as to whether repair and maintenance has nexus with the manufacturing activity. Since without repair and maintenance, manufacturing operations, though theoretically possible, are not commercially feasible, the same has to be treated as an activity having nexus with manufacture and hence any inputs used for repair and maintenance would be eligible for cenvat credit. 7. As regards the eligibility for cenvat credit on rent-a-cab services used for transportation of the employees from residence to factory and back, this issue also stand decided in favour of the appellant by a seri....