2003 (8) TMI 118

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....is whether during November, 1995 to Feb., 1996, the below-mentioned items were eligible for capital goods credit under Rule 57Q :- (1)      Hacksaw Blades used in the factory for cutting purposes in connection with repairs and maintenance of machinery; (2)      Various items used in mines situate away from the factory; (3)  &nbsp....

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....period. The credit of Rs. 2,442/- taken on Hacksaw blades has been rightly disallowed by the authorities below. Insofar as the various capital goods used in mines are concerned, the question whether such goods, which were used outside the cement factory, were eligible capital goods for Modvat credit stands settled by the Apex Court in Jaypee Rewa Cement v. CCE [2001 (133) E.L.T. 3 (S.C.)]. It was ....

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....as admittedly used for storage of water. Counsel has argued for the credit by relying on the Tribunal's decision in the case of M/s. Search Chem. Industries Ltd. [2000 (118) E.L.T. 608]. DR has opposed by submitting that the tank was not used for the manufacture of cement and hence not covered by the definition of capital goods under Explanation (1) to Rule 57Q(1). The submission of the DR appears....