2005 (11) TMI 150

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..... r in Paras 5 to 7 has held, which is as follows : "5. I have gone through the grounds of appeal, submissions made at the time of hearing and all other evidence on record. From the facts as stated in the impugned order it is seen that the appellants had written to the Department seeking remission of the credit taken in respect of 193 CPTs which had become defective during the course of manufacture .....

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..... htening takes place. Also the defect may occur on the phosphor coating on the front of the picture tube and during the aging and alignment due to heating of phosphor which may get burnt and black spots may appear. Other than this, the defect may also arise on account of heating filament inside the picture tube getting damaged. These facts were brought to the notice of the lower authority by the ap .....

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..... , the basic requirement for availing credit is that input should be put to use in the manufacturing process. In the present case there is no dispute about the fact that CPTs which were received in good conditions in the factory, were issued for manufacture of CTVs. It is only during the course of manufacture of the CTVs that some of the CPTs got damaged, the number in the present case being 193. T .....

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..... Credit Rules, 2001/2002. 7. In view of the above reasons, the order of the lower authority is unsustainable and is set aside. The appeal is allowed accordingly." 2. None have appeared for Revenue. Respondent have sent written submissions and prayed for decision on merits. Hence, the matter was taken up for decision on merits. 3. As can be seen from the extract of the impugned order that the C .....

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..... had already been issued for manufacture. A similar view was also expressed in the Maruti Udyog reported in 2000 (115) E.L.T. 433 where it has been held that inputs damaged during the process of assembling the motor vehicles are eligible for the credit. There is no infirmity in the impugned order. The order is correct and legal. Hence, the Revenue appeal is rejected. (Pronounced and dictated in o .....

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