TMI Blog2013 (8) TMI 877X X X X Extracts X X X X X X X X Extracts X X X X ..... he factory with the specific provision for transfer of liabilities of such factory, then, the transferor will be allowed to transfer the Cenvat credit lying unutilized to the transferee company. there is a change in ownership and the appellant has taken over the liabilities of the transferor. From a plain reading of the provisions of the Cenvat Credit Rules, it is absolutely clear that the appellant is rightly entitled for the transfer of Cenvat credit as held by both the adjudicating and appellate authorities. - Tribunal held that the transferor can transfer the credit lying unutilized in its books of accounts to the transferee company on account of change in ownership of the factory. Therefore, we do not find any infirmity in the order pa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ble as these are not capital goods. The said appeal filed by the Revenue was considered by the lower appellate authority, who held that the respondent is rightly eligible for the transfer of Cenvat credit lying unutilized and accordingly dismissed the appeal. Aggrieved of this decision, the Revenue is before us. 3. In the appeal memo, it is again urged that as per Rule 10(1) of the Cenvat Credit Rules, 2004, there is no mention of terms demerger allowing for transfer of Cenvat credit lying unutilized and therefore, the order of the lower authorities are bad in law. Secondly, it is urged that Cenvat credit amounting to ₹ 5,36,625/- taken on iron and steel products under the category of capital goods is not permissible in law, as p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r the said Rule, if the factory is transferred on account of change in ownership or on account of sale, merger, amalgamation, lease or transfer of the factory with the specific provision for transfer of liabilities of such factory, then, the transferor will be allowed to transfer the Cenvat credit lying unutilized to the transferee company. In the present case there is no dispute that the factory has been transferred to appellant and there is a change in ownership and the appellant has taken over the liabilities of the transferor. From a plain reading of the provisions of the Cenvat Credit Rules, it is absolutely clear that the appellant is rightly entitled for the transfer of Cenvat credit as held by both the adjudicating and appellate aut ..... X X X X Extracts X X X X X X X X Extracts X X X X
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