2019 (2) TMI 253

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..... L. Nandakumar, AC (AR) ORDER Brief facts of the case are that the appellants are engaged in the manufacture of brake linings and are availing the facility of Cenvat Credit on inputs, capital goods and input services. During the course of audit, it was found that the appellants have availed service tax credit on Product Liability Insurance for the period Apr.'16 to Mar.' 17, which acco .....

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..... nts are not indemnified for defects of the finished products, they would incur huge financial losses for payment of compensation. Such insurance policies are directly related to the manufacture of the finished products. He relied upon the decision of the Tribunal in the case of M/s. Sify Technologies Pvt. Ltd., vide Final Order No.42550/2018, dated 09.10.2018 as well as the decision of the Tribuna .....

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..... anufacture of finished products. The Tribunal in the appellant's own case as well as the decisions relied by the learned counsel has held the issue in favour of the assessee. Following the same as well as appreciating the facts of the case, I am of the view that the credit is admissible. Impugned order to this extent is set aside and appeal is allowed with consequential reliefs, if any. (Dict .....

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