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TMI Blog2014 (7) TMI 28X X X X Extracts X X X X X X X X Extracts X X X X ..... are directed against order-in-original No. 78-79/MAK (78-79)Commr/RGD/13-14 dated 27/09/2013 passed by the Commissioner of Customs & Central Excise, Raigad. 2. Vide the impugned order, the learned adjudicating authority has confirmed a duty demand of approximately Rs.1.21 crores against the appellant, M/s. Welspun Maxsteel Ltd. along with interest thereon and imposing equivalent amount of penalty ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er channel which provides access to the jetty which needs to be dredged to facilitate navigation of ships and barges. The said channel is a common channel which is also used by others including the appellant and to keep the water channel functional, they have been undertaking dredging of the channel on which they have paid service tax. It is their contention that the said activity of dredging woul ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Court in the case of Deepak Fertilizers and Petrochemicals Corporation Ltd., wherein it was held that services used in relation to storage of inputs outside the factory will be an eligible input service. Accordingly, it is pleaded that the impugned order is not sustainable in law. 3.1 The learned Counsel also points out that the fact that they were availing service tax credit on dredging service ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ms. 5. We have carefully considered the submissions made by both the sides. 5.1 From the facts of the case available on record, it is seen that the dredging is undertaken in the navigation channel which leads to the jetty of the appellant. The channel is not the private property of the appellant but belongs to the Maharashtra Maritime Board and the channel is also used not only by the appellant ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e appellant and against the Revenue. However, there is a merit in the contention of the appellant that they had disclosed the fact of availing Cenvat Credit on dredging services as early as in October 2006 and therefore, invoking of extended period of time is not justified. 6. In view of the above factual and legal position, we direct the appellant to make a pre-deposit of Rs.7.5 lakhs which is t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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