2009 (4) TMI 62

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....1.3.1994 and in denying the benefit, which was claimed by the applicant: 2) Whether, in the facts and circumstances of the case, the Tribunal was right in interpreting the provisions of Rule 57A and 57G as having bearing and relevance to 1 Whether the reporters of the local papers may be allowed to see the Judgment?Yes the Deemed Credit Benefit to be allowed to the applicant? 3) Whether, in the facts and circumstances of the case, the Tribunal was right in interpreting Chandigarh Central Excise Collectorate Trade Note No.81/94 dated 25.7.1994 as over-riding the notice dated 28.2.1993 and Deemed Credit Order dated 1.3.1994?" Though three questions as aforesaid have been framed, the basic question which arises in this petition is wit....

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....odvat credit then the exemption was from the whole of the duty of excise leviable thereon. (2) For the further clearances of Rs.20,00,000/-following the above clearances of Rs.30,00,000/-, the exemption was to the extent of 10% ad valorem subject to the condition that a minimum of 5% ad valorem duty was payable. (3) For the further clearances of Rs.25,00,000 following the clearances of Rs.50,00,000/- as above [Rs.30,00,000/- in Clause (i) and Rs.20,00,000/- in Clause (ii)], the exemption was to the extent of 5% ad valorem subject to the condition that a minimum of 5% ad valorem duty was payable. No exemption was available to the aggregate value of clearances in excess of Rs.75,00,000/- [Rs.30,00,000/- in Clause (i) Rs.20,00,000/- i....

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....ended, the Central Government hereby directs that the ingots and rerollable materials of iron and steel purchased from outside and lying in stock on or after the 1^st day of April, 1994 with the rerollers, availing of the exemption under Notification No.1/93-Central Excise dated the 28^th February, 1993 will be deemed to have paid duty and the credit of duty under Rule 57G of the said Rules in respect of such ingots and rerollable material used without undergoing the process of melting, in the manufacture of goods falling under Chapter 72 and 73 of the Schedule to the Central Excise Tariff Act, 1985 (5 of 1986), may be allowed at the rate of Rs.920/- per tonne, without production of documents evidencing the payment of duty.  This order....

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....ver Rs.75 lacs cannot be said to avail of the benefit of the notification No.1/93-C.E. and, therefore, could not get benefit of the deemed credit order. Following this order of the CEGAT, the appeal filed by the department was allowed. Hence the present petition. In our view, the order of the Larger Bench of the CEGAT is not correct. The benefit of the notification No.1/93-C.E. is available to any manufacturer whose total clearances in the preceding financial year did not exceed Rs.2 crores. The deemed credit order clearly states that all concerns availing of exemption under Notification No.1/93-C.E. dated 28.2.1993 will be deemed to have paid duty under Rule 57-I of the Rules and the credit may be allowed to them at the rate fixed witho....