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2009 (8) TMI 521 - CESTAT, NEW DELHICenvat Credit- inputs- Notification No. 50/2003, dated 10-6-03- The appellants manufacture steel wires coated and uncoated, stay stranded wire, barbed wire and started availing the benefit of Notification No. 50/2003, dated 10-6-03 with effect from 30-10-04. The proceedings were initiated to order recovery of Cenvat credit of Rs.3,18,763/- attributable to inputs , inputs contained in the semi-finished or finished goods on which credit was availed and utilised and which were lying in the factory as closing stock as on 30-10-04. The original authority confirmed the demand and imposed penalty. Commissioner (Appeals) upheld the order of the original authority. In the light of the various decisions held that- On perusal of the Rule 6 of Rules 2002 and the corresponding Rules, as mentioned above, we are of the view that the Appellants had correctly taken the credit and utilised, when the final product was dutiable and there is no requirement to reverse the credit on final product becoming exempt and such credit cannot be recovered under Rule 12 of Rules 2002 corresponding to Rule 57-I, 57AH of Rules 1944.” The facts of the present case are substantially the same as the facts in the case of Purewal Associates Ltd. In the light of the above, I find merit in the appeal by the party. Accordingly, I set aside the orders of the lower authorities and allow the appeal with consequential relief.
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