TMI Blog1999 (2) TMI 245X X X X Extracts X X X X X X X X Extracts X X X X ..... he manufacture of Safety Glass, were also availing Modvat credit under Rule 57A for duty paid on Float Glass sheets imported by them and used in the manufacture of Safety Glass. The sheets after import were warehoused without payment of duty on filing of yellow Bill of Entry. After re-warehousing, the goods were stored in the bonded warehouse of the respondent s factory from where the Float Glasses were issued as inputs for the manufacture of safety glass under bond and after obtaining permission of the proper officer. Respondents filed ex-bond Bill of Entry (green) and paid customs duty/CVD in respect of inputs i.e., imported float glass, after completion of the manufacturing activity. They also simultaneously entered the stock of inputs c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to March, 1994 and availed the Modvat credit but no objection was raised. The party gave up the procedure for manufacture under bond since the department has raised the objections and have started clearing their input material by paying the customs and CV duty at the port of import itself. They are now availing the credit of the CVD and there is no objection by the department. This itself shows that the objection by the department is frivolous. The procedure for payment of the CVD and taking of the Modvat credit under the earlier approved procedure and at the present one followed by the party by and large are identical. The Modvat credit in both the situations is taken after the payment of the CVD. He also observed that it could never b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ficer. The green Bills of Entry were filed from time to time and customs duty/CVD was paid in respect of inputs cleared each time. Thereafter the inputs were entered into RG 23A Part I and Modvat credit was taken in respect of CVD so paid in RG 23A Part II. Thus the inputs were utilised for the manufacture of the finished products only after payment of CVD and after taking the credit of the CVD so paid in RG 23A Part II. Therefore, there could be no doubt that the appellants have taken Modvat credit fully in accordance with the Modvat procedure and no violation of any provisions of modvat rules can be levelled against the appellants in the undisputed facts of the case. He therefore pleaded for dismissal of the appeal. 5. We have considere ..... X X X X Extracts X X X X X X X X Extracts X X X X
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