TMI Blog2004 (6) TMI 201X X X X Extracts X X X X X X X X Extracts X X X X ..... , but subsequently duty on the goods were paid by making necessary debit entries in the PLA. 2. The brief facts of the case are that the appellants are engaged in the manufacture of Steel Forgings falling under Chapter 73.29. They avail Modvat facility for inputs as well as capital goods in terms of Rule 57A and Rule 57Q respectively. They have three units situated at Thoraipakkam and Kandanachavedi and Gummidipundi. Their units were previously known as Chendur Forge Exports Ltd. Pursuant to amalgamation of the above units with M/s. El Forge Ltd., the name of the units is changed as M/s. El Forge Ltd. They have obtained Dies and Trimming Tools and have availed capital goods credit on those goods declaring that the said goods are acquired ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... order to seek redressal of their grievance through the appellate forum. Thereafter, the Assistant Commissioner vide order-in-original No. 114/96, dated 22-7-96, after considering the case, has rejected the request of the appellants for issue of certificate of payment holding that the provisions of Rule 57R(4) does not apply to goods which escaped assessment. While holding so, he has noted that (i) capital goods were not cleared under invoice (ii) goods were not assessed to duty at the time of clearance (iii) buyer did not take credit of duty on receipt of capital goods. Aggrieved by the said order of the Original authority, the appellants filed appeal before the lower appellate authority who upheld the order-in-original and rejected the app ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... CCE CE, Bhubaneswar-II reported in 2001 (129) E.L.T. 641 (6) PAM Instruments Pvt. Ltd. v. CCE reported in CCE, New Delhi-II reported in 2002 (148) E.L.T. 944. 3.1 He, therefore, prayed for setting aside the impugned order and allowing the appeal. 4. Shri A. Jayachandran, learned JDR appearing for the Revenue on the other hand submitted that, in this case, goods have been removed without permission of the proper officer and without payment of duty and it was only on being pointed out by the Department, that the appellants made necessary debit entries in their PLA. He has further submitted that the request for issue of certificate has been rightly denied by the authorities below, because in terms of Rule 57R(4), a cert ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... de subsequent to the clearance of the goods, when pointed out by the Department. 6. Now, the issue before us for determination is, in such a situation, whether the appellants' request for issue of certificate of payment of duty is in order and if so, under which provisions of law. Examining this question, we observe that Rule 57S prescribes the manner of utilisation of capital goods and the credit allowed in respect of duty paid thereon. In terms of sub-rule (ii) of Rule 57S(1), the goods should have been removed after intimating the Assistant Commissioner concerned and after payment of duty. As against that, the goods have been removed without intimation and without payment of duty, and duty was paid only subsequently, when pointed out b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nt to the original payment of duty. Similar was the facts involved in the case of CCE C, Bhubaneswar reported in 2001 (129) E.L.T. 641 where there was payment of duty initially and payment of differential duty subsequently. In the case of CCE v. SAIL, Rourkela Steel Plant reported in 1990 (47) E.L.T. 394, there was a claim by the assessee for benefit of Modvat credit on account of escalation of value of the inputs. Since the claim was not accompanied by any documents prescribed, the benefit of Modvat credit for the escalated price was not allowed and it was in those circumstances, the Tribunal rejected the appeal filed by the Revenue. In the case of Larsen Toubro Ltd. v. CCE reported in 1990 (50) E.L.T. 312, the assessee-appellants there ..... X X X X Extracts X X X X X X X X Extracts X X X X
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