2009 (2) TMI 195

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... period from 4/1994 to 9/1994 when the Notification No. 60/94-C.E. (N.T.), dated 21-10-1994 comes to effect from 21-10-1994 ? 2. Whether the Appellate Tribunal is correct in allowing Modvat credit of duty paid on capital goods/spares namely carding and combing machines producing products namely Sliver/combed/carded cotton falling under chapter heading 52.02 of the schedule to the central Excise Tariff Act, 1985, when this heading remained specifically excluded from the purview of capital goods under erstwhile rule 57Q as it stood during the material time, by overriding the legal provisions?" 2. Mr. T. Chandrasekaran, SCGSC, learned counsel for the appellant submitted that the authorities had failed to see that Cotton Carde....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....d v. Union of India [1997 (91) E.L.T. 285], the Division Bench had considered the nature of 'Sliver' on the basis of expert reports and held as follows :- "sliver obtained in the Petitioner's factory as described above cannot be brought and sold in the market and is not a commodity which is known in the trade." 5. The Supreme Court declined to grant leave against the judgment of the Delhi High Court in Modi Carpets Limited case [1997 (91) E.L.T. 285]. They also relied on Bhor Industries Ltd. v. Collector of Central Excise [1989 (40) E.L.T. 280], where it was held as follows :- "Therefore, it is necessary, in a case like this, to find out whether there are goods, that is to say, articles as known in the market as separate dist....