2000 (8) TMI 113

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.... of their inputs. They had filed a Modvat declaration indicating various inputs and final outputs but had not included Sponge Iron in their initial declaration because at that time Sponge Iron was exempt from duty and therefore no Modvat credit could be claimed. However, with effect from 1-3-1992 it became dutiable and therefore, in respect of the quantities received under valid duty paying documents, they took the Modvat credit and availed it for the purpose of paying duty on the declared outputs. However, they inadvertently omitted to file a supplementary declaration amending the one initially filed, to include this item. As soon as this omission was pointed out by the Supdt., they filed a supplementary declaration including Sponge Iron e....

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....the merits of the individual case and held that Modvat credit was not deniable wherever they were satisfied about the bona fides and substantive compliance with the requirements of the Modvat procedure and the second, represented by the case cited by the learned DR in which the declaration has been held to be a substantive requirement and not a procedural or technical one and was considered as not condonable even in the circumstances mentioned therein. 4. Arguing for the appellant, Shri Alok Arora, ld. Advocate submitted that the basic fact that Sponge Iron has been received under valid duty paying document and utilised in the production of the final product is not in dispute. At the time of filing initial declaration, the Sponge Iron di....

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....referred to the Larger Bench in the instant case need not be answered and matter be remanded to the Adjudicating Authority to examine the issue afresh in the light of amendment to Rules 57G and 57T as per Notification No. 7/99-C.E. (N.T.), dated 9-2-1999, and the two Circulars (M.F. D.R. letter F.No. 267/6/92-CX dated 30-1-1992 and Circular No. 441/7/99-CX., dated 23-2-1999). He referred to the relevant amendment [7/99-C.E. (N.T.), date 9-2-1999] which is as under :- "7/99-C.E. (N.T.), dated 9-2-1999 : In exercise of the powers conferred by Section 37 of the Central Excise Act, 1944 (1 of 1944), the Central Government hereby makes the following rules further to amend the Central Excise Rules, 1944, namely :- 1.    &nbsp....

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....to be disposed of accordingly. In this context, he referred to the decision of the Supreme Court in the case of Mathew M. Thomas v. Commissioner of Income-tax reported in 1999 (111) E.L.T. 4 (S.C.) wherein it was held that proceedings shall include proceedings at the appellate stage. Particularly, he drew our attention to the para 8 of the said judgment which reads as under :- "8. It is well settled that the word "Proceedings" shall include the proceedings at the appellate stage. It is sufficient to refer to the judgment of this Court in Garikapati Veeraya v. N. Subiah Choudhry & Ors. - AIR 1957 S.C. 540 wherein the Court said at page 553 :- "(i)  That the legal pursuit of a remedy, suit appeal and second appeal are really but st....