TMI Blog2000 (6) TMI 86X X X X Extracts X X X X X X X X Extracts X X X X ..... u Venkataraman, learned Counsel for the appellants and Shri S. Kannan, learned DR for the Revenue. 3.With respect to Control Platform the learned Counsel reiterates the grounds of appeal and submits that though it is a platform it is necessary to use this platform for controlling the process of manufacture of sugar molasses. 4.The learned DR submits that this item has been considered by the Tribunal in the case of Lupin Laboratories Ltd. v. CCE as reported in 1999 (107) E.L.T. 170 wherein pipe railing/platform with ladder being used for visual check of material under process was held to be a part of fixtures and not items of machinery concerned with production of medicaments and therefore, credit was not admissible. 5.I have carefully ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e credit is admittedly taken much later thereafter, the denial thereof has to be upheld. 9.With respect to Bag stacker the learned Counsel submits that this is storage device which is used to store fully manufactured sugar bags in which sugar is removed from the factory. He submits that the ratio of the decision of the Hon'ble Supreme Court in the case of CCE v. Eastend Paper Industries Ltd. reported in 1989 (43) E.L.T. 201 would be applicable as the Supreme Court has laid down that the term raw material and component parts would include "anything that enters into and forms part of the manufacturing process or is required to make the articles marketable must be deemed to be raw material or component parts of the end product and must be ta ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e manufacturing process gets affected. Therefore, this item used for the plant maintenance has a nexus with the manufacturing process and the credit should be allowed. 14.The learned DR on the other hand cites the decision of the Tribunal in the case of Associated Cement Companies Ltd. v. CCE as reported in 1999 (108) E.L.T. 477 wherein paints (anti coating) used for protection of equipment for maintenance of equipment had been found ineligible for Modvat Credit under Rule 57A. In view of that he submits that the ratio thereof be applied to this case. 15.I have considered the submissions and I find that in view of the decision cited above, applying the ratio thereof, Red Oxide metal primer which is also a kind of anti coating, Modvat Cr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... therefore, the gear box used in the machinery for handling this excisable product clearly is admissible for Modvat Credit. In this connection he cites the decision of the Tribunal in the case of Metrochem Industries v. CCE as reported in 1997 (96) E.L.T. 114 (T). 20.The learned DR reiterates. 21.On consideration of the submissions, I find that the use of the said gear box in the manufacturing process, is in a system for pumping molasses to storage tanks. Clearance of molasses is on payment of duty would amount to manufacturing activity. In the case law cited by the learned Counsel gear box was used for handling raw material. In this case the claim of the appellant is even stronger as the gear boxes are used for handling excisable produ ..... X X X X Extracts X X X X X X X X Extracts X X X X
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