2000 (3) TMI 471

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..... s. [Order]. -  These are eight reference applications filed by Commissioner Central Excise, Chandigarh, for referring the following point of law to the Hon'ble High Court, arising out of Tribunal Final Order Nos. A/839-846/98-NB, dated 15-7-1998. "Whether use of Oxygen/acetylene gases in cutting of scrap of Iron & Steel into smaller pieces to be fed into a furnace is a part of integrated p .....

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..... d that all the Respondents manufacture non alloy steel ingots and avail of Modvat Credit in respect of gases used for cutting of scrap of Iron & Steel; that the Tribunal had allowed the Modvat Credit under Rule 57A of the Central Excise Rules in respect of Oxygen/acetylene gas holding that cutting of big pieces of the inputs into smaller ones, before these are fed into the furnace, is a process in .....

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..... ase wherein Modvat Credit was allowed in respect of Oxygen/acetylene gas. The fact of appeal being admitted by Supreme Court is reported in 1997(95) E.L.T. A 226. He, therefore, requested that in such a situation, a reference lies to the Hon'ble High Court for deciding the legal question whether the use of such gases can be considered as used in or in relation to the manufacture of the final produ .....

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..... s for Modvat credit?" STATEMENT OF FACTS Rule 57A of the Central Excise Act provides for the availment of Modvat Credit of the duty of excise paid on the inputs which are used in or in relation to the manufacture of the final products as specified in the notification issued under the said Rule. All the respondents are engaged in the manufacture of non-alloys steel ingots. They are availing Modva .....

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..... nt of reference is as under : "Whether use of Oxygen/acetylene gases in cutting of scrap of Iron & Steel into smaller pieces to be fed into a furnace is a part of integrated process connected with the ultimate production of final products namely steel ingots and other steel castings and is essentially required in process of manufacture of final products and whether oxygen/acetylene gases are elig .....

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