2004 (6) TMI 174

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....er (T)]. - In this appeal, filed by Revenue, the issue involved relates to eligibility of capital goods credit in respect of cement and structural material TOR/Steel Bars and Transformer. 2. Shri Virag Gupta, learned D.R., submitted that M/s. L.G. Hotline CPT Ltd. manufacture colour picture tubes and avail of Modvat credit of the duty paid on capital goods under Rule 57Q of the Central Excise R....

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.... of more than 75 KVA. 3.1 Countering the arguments Shri Ramesh Nair, learned Advocate, submitted that cement, TOR steel have been used in the foundation of the machine and the equipment and the main plant; that it has been held by the Tribunal in the case of United Phosphorus Ltd. v. CC & CE, 2002 (150) E.L.T. 650 (Tri.) that Rule 57Q does not provide that credit is not available, if the goods ....

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.... 480, (iii)   CCE, Meerut v. Kasturi Sugar Mills, 2003 (162) E.L.T. 985 (Tribunal). 3.2 Finally he submitted that transformer below 75 KVA is eligible for Modvat credit as it is used for producing or processing the goods in the factory; that the mere fact that clause (d) of Explanation to Rule 57Q refers to transformers of capacity exceeding 75 KVA does not mean that the goods cove....

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....oncerned. 5. Cement & TOR steel used in the foundation of machine and equipments and steel structures are used for installation of conveyors. The definition of the capital goods as interpreted by the Hon'ble Supreme Court in the case of Jawahar Mills Ltd. makes it clear that these items which are used in the foundation of machines and equipments or for installation of conveyors are not capital ....