Amijeet Founders vs Commissioner Of Central Excise, ...

[Arising out of Order-in-Appeal No. 119-2006 dated 05/05/2006 passed by Commissioner of Central Excise(Appeals), Mangalore]

For approval and signature:

HON'BLE SMT. ARCHANA WADHWA, JUDICIAL MEMBER HON'BLE SHRI B.S.V.MURTHY, TECHNICAL MEMBER

1 Whether Press Reporters may be allowed to see the Order for publication as per Rule 27 of the CESTAT (Procedure) Rules, 1982?

2 Whether it should be released under Rule 27 of the CESTAT (Procedure) Rules, 1982 for publication in any authoritative report or not?

3 Whether Their Lordships wish to see the fair copy of the Order?

4 Whether Order is to be circulated to the Departmental authorities?

Amijeet Founders Ploy No.182, Udyambag BELGAUM - 590008 KARNATAKA Appellant(s)

Versus

Commissioner of Central Excise, Customs and Service Tax Belgaum NO. 71...CLUB ROAD, CENTRAL EXCISE BUILDING, BELGAUM, - 590001 KARNATAKA Respondent(s)

Appearance:

None For the Appellant

Shri N. Jagdish, Superintendent(AR) For the Respondent

Date of Hearing: 28/04/2015

Date of Decision: 28/04/2015

CORAM:

HON'BLE SMT. ARCHANA WADHWA, JUDICIAL MEMBER HON'BLE SHRI B.S.V.MURTHY, TECHNICAL MEMBER

Final Order No. 21031 / 2015

Per : ARCHANA WADHWA

Nobody is present on behalf of the appellant. Accordingly, we have heard the learned AR and have gone through the case records.

2. It is seen that the appellants appeal was allowed by the Tribunal by way of remand vide Final Order No.1943/2006 dt. 22/11/2006. The disputed issue was as to whether the appellant was entitled to avail the CENVAT credit of duty paid on the inputs used for dutiable goods manufactured on their own behalf as also in use of the goods cleared without payment of duty in terms of Notification No.214/86, on job work basis. The lower authorities by entertaining a view that the goods cleared under Notification No.214/86 are exempted goods and the appellant is not entitled to the credit of the duty paid on the inputs used in such goods, denied the credit to the tune of Rs.57,439/-. The Tribunal vide its order referred to (supra) remanded the matter to the lower authorities to examine the appellants plea that they were either maintaining the separate accounts for both the types of inputs or were reversing the credit before clearance of the exempted goods.

The said order of the Tribunal was appealed by the Revenue before the Honble High Court of Karnataka, who vide their order dt. 28/07/2011 set aside the same on the ground that no reasons for remand stands spelt out in the order and directed the Tribunal to reconsider the matter and pass fresh orders.

3. Today, we find that the issue is no more res integra. The Larger Bench decision of the Tribunal in the case of Sterlite Industires (I) Ltd. Vs. CCE, Pune [2005(183) ELT 353 (Tri. LB)] has held that an assessee is entitled to the CENVAT credit of the duty paid on the inputs used in the manufacture of the goods cleared under exemption Notification No.214/86-CE. As such, no question of verification of records arises, inasmuch as the legal issue is settled in favour of the assessee. Accordingly, we set aside the impugned order and allow the appeal with consequential relief to the appellant.

(Order pronounced and dictated in open court)

B.S.V.MURTHY TECHNICAL MEMBER ARCHANA WADHWA JUDICIAL MEMBER

Raja..

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