TMI Blog2000 (6) TMI 288X X X X Extracts X X X X X X X X Extracts X X X X ..... payment of the compliance of the stay order dated 11-1-1999. We had directed the assessee to furnish bank guarantee for 50% which they have complied with. 2. The appellants are engaged in the manufacture of various types of yarn and fabrics falling under Chapters 52, 54 and 55 of the Schedule to the CETA, 1985. The appellants state that a Notification 7/94(NT) dated 1-3-1994 was issued under Rule 56A of the Central Excise Rules along with proforma credit in respect of synthetic filament yarn. The appellant opted for proforma credit by making an application to that effect to the concerned authority by their letter dated 1-3-1994. After getting stock lying with them on 1-3-1994 the appellants took proforma credit in respect thereof in the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as transitional credit as is enshrined in Rule 57H of the Modvat Rules is absent in the proforma credit. The question before Zuari Agro Chemicals is not about transitional credit matters. Therefore, he submits that the ratio in that case cannot be applicable to the facts in this case. 6. We have considered the rival submissions. Normally we would have remanded the matter for consideration of the Commissioner (Appeals), but since the matter could be decided on the interpretation of the provisions of law and since there is no examination complicated questions of fact is involved, we have ourselves decided the matter. 7. In this case, certain inputs were available with the appellants prior to 1-3-1994. After the extension of proforma cr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tention of the learned counsel is Zuari Agro Chemicals case is applicable to the facts of this case. We have considered this. In that case the question of eligibility was never discussed. The question as it appears to us is reflected in paragraph thereof as follows: "In this case the Government of India gave the benefit of Rule 56A to the assessee from the date of application of the licence." Here the question before us is not the date of application of the licence, here the question is the eligibility to the proforma credit. 9. In this connection, it will be useful to refer to what is contained in Rule 57H of the Modvat Scheme which is reproduced as follows : Transitional provisions. (1) Notwithstanding anything contained in rule 57G ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of application or later or prior to that. Here we are questioning the eligibility. In the absence of similar provisions like rule 57H in the proforma provisions, we are unable to accede to the argument of Shri M.H. Patil. Appeal stands dismissed. Impugned orders is upheld. 10. The other argument is relating to duty paying receipt of goods, in our view, is not material to the decision in appeal. As far as the penalty is concerned, the leviability is very clear. As stated above by us, when the rule making authority does not specifically enable the assessee to take proforma credit as similarly found in Modvat credit like existence of rule 57H, it may not be understood how a seasoned assessee like Bombay Dyeing Mfg. Co. Ltd. would have tak ..... X X X X Extracts X X X X X X X X Extracts X X X X
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