TMI Blog2018 (7) TMI 517X X X X Extracts X X X X X X X X Extracts X X X X ..... s a conveyor system and accordingly, the assessee was entitled to benefit of credit. Appeal allowed - decided in favor of appellant. - E/72010/2013 - FO/75823/2018 - Dated:- 20-3-2018 - Shri P.K.Choudhary, Member (Judicial) Shri B.N.Chattopadhyay, Consultant for the for the Appellant/Applicant (s) Shri D.Halder, AC(AR) Respondent (s) ORDER Per Shri P.K.Choudhary 1. The brief facts of the case are that the appellant is engaged in the manufacture of sponge iron and MS Billets both falling under chapter 72 of the first schedule to the Central Excise Tariff Act, 1985. The appellants undertook expansion of their unit by installation of steel melting shop and captive power plant. They purchased rails and railway slee ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ure of final product and hence, cenvat credit cannot be denied. Further, regarding the allegation of the Department that the appellant had deliberately suppressed the material fact of availing cenvat credit on rails and railway sleepers, the learned counsel submitted that it was ill founded, as the relevant details had been captured by the appellant in the cenvat credit account as well as furnished in the ER-1 returns. He relied upon the case of Aditya Cement v. UoI reported as 2008 (221) ELT 362 (Raj.). 3. The learned AR appearing for the revenue reiterated the findings of the adjudicating authority. 4. Heard both sides and perused the appeal records. 5. I find that the main issue involved in the instant case is whether cenvat cre ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tained. 7. Further, I find that in the case of Tata Steel Ltd. v. CCE, Jamshedpur reported as 2016 (335) E.L.T. 303 (Tri. - Kolkata), the Tribunal, following the decision of the Hon ble Supreme Court in the case of Jayaswal Neco Ltd. reported as 2006 (199) ELT 145 (SC) held as under: 5.6 Before addressing the issues raised, it would be prudent to refer to the principle laid down by the Hon ble Supreme Court in Jayaswal Neco Ltd. s case. Their Lordships observed as : 14. Applying the aforesaid test to the facts of this case, it is apparent that the use of railway tracks is related to the actual production of goods and without the use of the said railway track, commercial production would be inexpedient. 15. In the ins ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... car from blast furnace to pig casting machine through ladle car where hot metal is poured into pig casting machine for manufacture of pig iron. It is clear from the above that the use of railway tracks inside the plant not only form the process of manufacturing, but it is inseparable and integral part of the said process inasmuch as without the aforesaid activity for which railway tracks are used, there cannot be manufacturing of pig iron. (emphasis supplied). 8. Hence, the decision of the Hon ble Jharkhand High Court in the case of Tata Steel Ltd. Vs. Union of India, as relied upon by the adjudicating authority is not applicable herein. 9. In the instant case, I find that the impugned goods have been used for laying of railway lin ..... X X X X Extracts X X X X X X X X Extracts X X X X
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