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TMI Blog2010 (5) TMI 594X X X X Extracts X X X X X X X X Extracts X X X X ..... e appellant these items have been used for making parts of the sugar mill machinery and also for repairs. A show cause notice dated 20th January 2006 was issued to the appellant for recovery of allegedly wrongly taken Cenvat credit amounting to Rs. 39,23,784/- on the above-mentioned items along with interest and also for imposition of penalty on them under Rule 15 of Central Excise Rules, 2004. 1.2 The show cause notice was adjudicated by the Additional Commissioner vide order-in-original No. 42/ADC/2006, dated 30/11/06 by which the Cenvat credit of Rs. 17,09,810/- was disallowed in respect of CI Castings, Welding Electrodes, SS Coils, HR Sheets, M.S. Plates, Angles, Rough Forgings, Hot Strips, Bars and Rods, Shrink Komp, Coil Trade etc. T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ash Beam, Scrapers, UFR C/P, Trash Plate, T.T. Cap, Cross Girder, Top Roller scrapper and U.F. Scraper, that the castings are used for manufacture of capital goods, that the Welding Electrodes had been used for manufacture of the capital goods as well as repair and maintenance of the capital goods, that the Welding Electrodes are used with the welding machine which being classifiable under Chapter 85 are capital goods and hence the Welding Electrodes being part of such machine would be covered by the definition of capital goods, that the Tribunal in the case of Kisan Sahkari Chini Mills Ltd. v. CCE decided by [Final order No. 1268/2009-EX, dated 3rd November 2009] had remanded the matter of admissibility of Cenvat credit in respect of weldi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... which had been used for replacing of certain parts of the sugar mill machinery and the details of the parts made out of such C.I. Castings have been given by them. C.I. Castings can be used only as part of the machinery after machining and since now the appellant have given the exact details of the parts which had been machined out of such C.I. Castings, this plea has to be considered for which this matter would have to be remanded to the original Adjudicating Authority. As regards the welding electrodes, while the Tribunal's in its decision in the case of Vikram Cement (supra) had held that welding electrodes used for repair and maintenance of the plant and machinery are not eligible for Cenvat credit as input however if welding electrode ..... X X X X Extracts X X X X X X X X Extracts X X X X
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