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TMI Blog2015 (3) TMI 130X X X X Extracts X X X X X X X X Extracts X X X X ..... xcise Range, Hapur by an order dated 8th February, 1995 rejected the assessee's application holding that no permission can be granted to store the goods outside the godown. The authority, however, permitted the assessee to store the goods and keep bringing the goods in smaller lots and take credit on the receipt of the last and final lot. For facility, the order of the Superintendent, Central Excise dated 8th February, 1995 is extracted hereunder:- "I have been directed by the Assistant Collector Div IV, Gzb, to inform you that the permission regarding storage of goods in the outside godown is not permissible. However you may store the goods and keep bringing the goods in similar lots and take credit on the receipt of the last and fina ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ions of Rule 57D(6), now 57G(2), could apply to deny the applicant the benefit of Modvat Credit?" We have heard Sri A.P. Mathur, the learned counsel for the assessee and Sri R.C. Shukla, the learned counsel for the central excise department. Rule 57D(6) now 57G(2) of the Central Excise Rules reads as under:- "Provided further that the manufacturer shall not take credit after six months of the date issue of any of the document specified in first provision to this sub-rule." The aforesaid rules makes it apparently clear that the manufacture shall not take credit after six months of the date of issue of any document. The assessee applied for permission to store the inputs used outside the factory permission. This application was rejected s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uring the period of six months but the last and final lot was received after the period of six months, we are of the opinion that Rule 57D(6) now Rule 57G(2) of the Rules being procedural in nature does not dis-entitle the claim of the assessee for claiming Modvat credit. In the absence of any deliberate delay, coupled with the fact that the transaction executed by the assessee, being a bonafide one and, based on the direction of the Superintendent, Central Excise dated 8th February, 1995, the assessee, in the instant case, was entitled for Modvat credit. The Trade Notice No.67 of 1996 clarifies such peculiar circumstances In view of the aforesaid, we are of the view that the applicant-assessee was entitled to the Modvat credit based on th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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