2025 (2) TMI 516

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....e procured some products viz. cifixine, phexo, cephalexin, CPDP, menthe piperretta oil etc. for further export from their premises and have availed CENVAT credit on the same. Revenue disputed such availment of credit and issued a Show Cause Notice dated 12.08.2010 proposing to recover CENVAT credit of Rs.1,97,49,877/- ; the Show Cause Notice was decided by the Commissioner vide Order dated 09.01.2012 vide which the proceedings were dropped. Revenue is in appeal against the same. 2. Learned Authorized Representative for the Department, reiterates the grounds of appeal and submits that the items procured by the respondents are not inputs used in or in relation to the manufacture of final products and as such credit is not admissible; when ....

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....2(k) of the CENVAT Credit Rules defines Input as follows: Input meansall goods, except light diesel oil, high speed diesel oil and motor spirit, commonly known as petrol, used in or in relation to the manufacture of final products whether directly or indirectly and whether contained in the final products or not and includes lubricating oils, greases, cutting oils, coolants, accessories of final products cleared with final products, goods used as paint, or as packing material, or as fuel or for generating Electricity or Steam used in or in relation to the manufacture of final products or for any other purpose, within the factory of production. 4. We find that the unmissable reading of the Rule 2(k) is that the any item to be qual....

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....expression "for any other reason" has to be read in the context in which it is used in such rule. The said expression has been used after the word "or" which is preceded by the expressions, "remade, refined, re-conditioned" and, therefore, the expression "for any other reason" cannot be read forgetting the principle of ejusdem generis. Having so read, question of allowing the appellants to avail the Cenvat credit on the inputs which were admittedly procured for being utilized in the process of lamination, by no stretch of imagination can be brought within the meaning of the said expression under the said Rule. 6. The order relating to Stay was reversed by the Hon"ble Delhi High Court -2012 (276) E.L.T. 172 (Del.). However, the facts of t....