2005 (6) TMI 16

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..... Hundred Fourteen Only) but challenge in the present appeal is to Modvat credit of Rs. 3,02,091/- (Rupees Three Lakh Two Thousand Ninety One Only) disallowed by the authorities below on the ground that the same was earned in respect of the inputs which were used for the manufacture of goods falling under Chapter 39 and as such cannot be used towards the demand of duty in respect of goods of Chapter .....

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..... rds payment of duty of excise on any other final product, whether or not such inputs have actually been used in the manufacture of such other final product, if the said inputs have been received and used in the factory of production on or after 16-3-95 in this case as the inputs were received and utilized prior to 16-3-95, the credit would not be admissible as there is a clear violation of Rules. .....

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..... deal with the issue involved. 3.In the case of Garg Industries [1996 (86) E.L.T. 495 (Tribunal)], it was held that there was no provision for lapse of modvat credit lying at any point of time and as such credit can be utilized even in case of exempted goods, as it is the option of the assessee to pay duty on the final products inspite of exemption. Similarly, in the case of Dhar Cement Ltd. [1996 .....

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