1996 (7) TMI 381

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... - These are two appeals filed by M/s. BCR Ltd., involving common issue. 2.  The short point to be considered in these appeals is whether parts of paper making machine are eligible for modvat under Rule 57A of the Central Excise Rules, 1944. 3.  Shri M.P. Devanath, learned Advocate appearing for the appellants submitted that there were conflicting decisions on the issue of eligibilit .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... e not used in the manufacture of paper. On appeal filed by the Assessee, while upholding the view of the Assistant Collector, Collector (Appeals) observed that from the details of function of these items, it is evident that these are actually needed for performing certain task and are attached to the manufacturing machine to adapt them to a particular use in the process of manufacture of paper. He .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... the wire mesh and web of pulp fibre is formed. It moves on moving wire mesh (endless) and is allowed to fall on felt (cotton, woollen or synthetic). The moving felt carries the pulp web to the drier and is calendered or pressed being wound on rolls and treated further. Wet paper is passsed between Dandy Rolles covered with Dandy cover so as to smoothen the surface of the paper. These articles are .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... SRB are not correctly decided. On the other hand, the decisions in Gujarat Alkalies & Chemicals Ltd. v. Collector of Central Excise. 1989 (41) E.L.T. 424 (Tribunal), WRB. Cominco Binani Zinc Ltd. v. Collector of Central Excise 1990 (48) E.L.T. 283 (Tribunal) SRB. Travancore Cochin Chemicals Ltd. v. Collector of Central Excise 1990 (50) E.L.T 172 (Tribunal) SRB. Collector of Central Excise v. Stand .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... the case of Union Carbide India Ltd., referred to above, I hold that items i.e. wire and felt are not excluded by virtue of exclusion clause (i) of the explanation to Rule 57A of the Central Excise Rules and, accordingly, these inputs are eligible for Modvat credit. 8.  In the result, I set aside the impugned order and, accordingly, these two appeals are allowed.
Case laws, Decisions, J .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X