2008 (9) TMI 331

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..... We have heard both the sides in the matter. The appellants availed Cenvat credit on inputs which were used in the production of exported goods. Later, they filed the refund claim for an amount of Rs. 2,21,360/- on the ground that they had exported their final products during the given period and therefore they are not in a position to utilize the Cenvat credit of duty taken on inputs used in the manufacture of the said final product cleared for export under bond or letter of undertaking. The Original authority examined the issue in detail. The Original authority did not sanction the entire amount claimed by the appellants. He observed that the closing balance of credit of Rs. 2,21,360/- for March 2007 includes inter alia- (a) duty credit....

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....relief. The learned Advocate has relied on a large number of case laws which hold that the credit in respect of final products exported should be refunded when they cannot be utilized. We are reproducing the case laws given in the Synopsis at the time of hearing:- S.No. Ciatation Gist/summary of content 1. CCE v. Dai Ichi Karkaria [1999 (112) E.L.T. 353 (S.C.)]   Held that credit is indefeasible. It should also be noted that there is no co-relation of the raw material and the final product, that is to say, it is not as if credit can be taken only on a final product that is manufactured out of the particular raw material to which the credit is related. 2. Navbharat Industries v. CCE [2006 (199) E.L.T. 148 (T)] Held, if an asse....