TMI Blog1997 (10) TMI 172X X X X Extracts X X X X X X X X Extracts X X X X ..... er-in-appeal passed by the Commissioner of Central Excise (Appeals). In the impugned order the benefit of Modvat credit in respect of clean flo chemical used for removing deposits from the cooling coil of the air conditioning system, is allowed to the appellant. 2. Shri Nair, JDR appearing on behalf of the appellant submits that Clean Flo was used for cleaning removing of deposits from the cooli ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... that the Clean Flo is used for cleaning and removing deposits from the cooling coil in the air conditioning system which control the temperature for maintaining the process condition. Therefore the Clean Flo was an essential input for the process as well as the finished goods. He submits that the Collector of Central Excise in the impugned order relying upon the decision of the Tribunal in the cas ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ion of the Tribunal in the case of Kanoria Sugar and Co. Ltd. v. Collector of Central Excise reported in 1996 (87) E.L.T. 522. In this case the Tribunal held that the lubricants and grease used merely for better operation of machinery and hence these are not entitled for the Modvat credit in terms of Rule 57A of the Central Excise Rules, 1944. In this case the dispute was regarding lubricants and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ision of the Addisons Company Ltd. v. CCE (supra). The Tribunal held that as long as the goods used in or in relation to the manufacture of final product and are not specifically excluded from the scope of exclusion clause of Rule 57A or excluded by Notification No. 157, dated 1-3-1986, the Modvat credit is to be allowed. This view further found support from the decision of Hon ble High Court in t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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