2014 (4) TMI 87

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....te is as to whether during the period from December 2007 to June 2010, the appellant would be eligible for Cenvat credit in respect of MS Angles, channels, plates, bars etc. used for fabrication of structural supports for induction furnace, fabrication and making of storage tanks, embedded in the earth, fabrication of EOT cranes and for repair and maintenance of inner and outer walls of the induction furnace. The total Cenvat credit availed is Rs. 3,57,074/-. The department being of the view that the appellant are not eligible for Cenvat credit in respect of these items, issued a show cause notice dated 20th December 2010 invoking extended period for recovery of allegedly wrongly taken Cenvat credit alongwith interest and also for impositio....

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.... hence, the steel items used for fabrication of EOT cranes would be eligible for Cenvat credit, that in this regard she also relies upon the judgment of Hon'ble Madras High Court in the case of CCE, Tiruchirapalli vs. India Cements Ltd. reported in 2012 (285) E.L.T. 341 (Mad.), that as regards the steel items used in repair of the inner or outer wall of the induction furnace, the same having been used in the repair and maintenance of the capital goods are also eligible for Cenvat credit and in this regard she relies upon the judgment of Hon'ble Chattisgarh High court in the case of Ambuja Cements Ltd. vs. Union of India reported in 2009 (244) E.L.T. 350 (Chattisgarh), that the appellant, therefore, have a strong prima facie case and, hence,....

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....As regards the steel items used in repair of outer and inner wall of the induction furnace, the same being used in the repair and maintenance of the capital goods would be eligible for Cenvat credit, in view of judgment of Ambuja Cements Ltd. vs. Union of India (supra) and also the judgment of Hon'ble Rajasthan High Court in the case of Union of India vs. Hindustan Zinc Limited reported in 2009 (236) E.L.T. 633 (Raj.). As regards the steel items used in fabrication of EOT cranes, I am of the prima facie view that the same would be eligible for Cenvat credit as the EOT cranes are capital goods. The only items which do not appear to be recovered by the definition of capital goods are the supporting structures for the furnace and the storage t....