TMI Blog2019 (2) TMI 253X X X X Extracts X X X X X X X X Extracts X X X X ..... ive and the customers claim for compensation - It is brought out that the insurance does not cover cost of removal, replacing or repair of defective products or losses of use but is only for malfunctioning or manufacturing defects, which is detected in the hands of the customers. These cannot be considered as post-manufacturing activities as they are integrally connected to the manufacture of fini ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and recover the same along with interest and for imposing penalties. After due process of law, the original authority confirmed the demand, interest and imposed penalties. In appeal, the Commissioner (Appeals) upheld the same. 2. Hence this appeal. 3. On behalf of the appellants, the learned counsel Shri Nitin submitted that the department has disallowed the credit alleging that these are po ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... earned Authorised Representative Shri L. Nandakumar supported the findings in the impugned order. 5. Heard both sides, 6. The issue is the eligibility of credit on the Product Liability Insurance. Needless to say that the appellants have taken such insurance policies to cover their losses in case finished products are defective and the customers claim for compensation. It is brought out that ..... X X X X Extracts X X X X X X X X Extracts X X X X
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