Customs, Excise and Gold Tribunal - Mumbai
Commissioner Of Central Excise vs Rajesh Aromatics P. Ltd. on 12 October, 2004
ORDER Krishna Kumar, Member (J)
1. Heard both sides.
2. The department has come in appeal against the allowance of credit, amounting to Rs. 17,166/- on fuel i.e. LDO consumed in the manufacture of job-work. By allowing the credit. the Commissioner (Appeals) has recorded that he finds that as per Rule 57AD of Central Excise Rules, 1944 credit taken on fuel is allowed even though it is used in the manufactured goods. In this regard he has relied on the decision in the case of National Engineer Inds. Ltd. v. CCE, Jaipur reported in 2002 (52) RLT 1044 (CEGAT. Del) wherein the Tribunal has held that job work : LPG used as a fuel by job workers in processing of the inputs received under Rule 57F(4) credit not deniable to the job workers as fuel is specifically excluded under Rule 57C and Rule 57CC; though processed inputs are cleared to principal manufacturer without payment of duty. He has also reduced the penalty from Rs. 18,717/- to Rs. 1551/- imposed under Section 11AC of Central Excise Act, 1944.
3. After hearing both sides and perusal of the record. I do not find any reasons to interfere with the order passed by the Commissioner (Appeals). I, therefore, dismiss the appeal filed by the Revenue.