TMI Blog2015 (10) TMI 2565X X X X Extracts X X X X X X X X Extracts X X X X ..... finition of input contained in Rule 2(k) of the Cenvat Credit Rules - Decided in favor of the assessee. - E/55001/2014 -Ex[SM] - FINAL ORDER NO. 54198/2015 - Dated:- 14-10-2015 - Mr. S.K. Mohanty, Member (Judicial) Mr. Vipin Upadhyay, Advocate for the Appellants Mrs. Kanu Verma Kumar, AR for the Respondent ORDER The brief facts of the case are that the appellant is engaged in the manufacture of Cement and Clinker in its factory and avails cenvat credit on various inputs and capital goods used in or in relation to manufacture of final product. During the disputed period, the Department initiated Show Cause proceedings, seeking recovery of cenvat credit on input such as iron and steel articles on the ground that the sai ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d in 2012 (286) 503 (Kar.) . 3. On the other hand, the Ld. Commissioner (AR) appearing for the respondent submits that since there is no nexus between the disputed goods and the finished product manufactured by the appellant, cenvat benefit cannot be permissible either as input or as capital goods. To justify her above stand that the disputed goods cannot be considered as capital goods, she relies on the judgment of the Hon ble Supreme Court in the case of Madras Cements Ltd. vs CCE reported in 2010 (254) ELT 3 (S.C.). 4. Heard the Ld. Counsel for both the sides and perused the records. 5. It is an admitted fact that the disputed goods have been used by the appellant for repair, maintenance and fabrication of the machines/ ma ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sion mentioned in the definition clause. Since the goods in question, are being used for fabrication, repair and maintenance of capital goods which has also been admitted by the Department, I am of the view that the same should be eligible as input for the purpose of taking cenvat credit. In this context, I find that the Hon ble High Court in the case of Hindustan Zinc (supra) has allowed the cenvat benefit on the disputed goods by holding that the same should be considered as capital goods. The judgment of Hon ble Supreme Court in the case of Madras Cement Ltd. (supra) relied on by the Ld. AR is distinguishable from the facts of the present case inasmuch as the said judgment was delivered in context with the statutory provisions in vog ..... X X X X Extracts X X X X X X X X Extracts X X X X
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