Customs, Excise and Gold Tribunal - Delhi
Cce, Chandigarh vs M/S. Kakkar Complex Steels (P) Limited on 8 December, 2000
Equivalent citations: 2001(137)ELT361(TRI-DEL)
ORDER
G.R.Sharma
1. The Revenue has filed this application stating that a point of law reading as "Whether credit is allowable on Hot Tops which function as appliance that becomes unusable after frequent use in manufacturing process and is not consumed as such?"
2. Arguing the case, Shri M.D.Singh, ld.SDR submits that a SCN was issued to the assessee. The Asst.Commissioner while adjudicating the case confirmed the demand and also imposed a penalty of Rs.5,000/-. In appeal, the Commissioner upheld the demand but dropped the penalty. He submits that the Tribunal decided the issue is favour of the assessee holding that hot tops are modvatable items. He submits that a point of law arises as there was decision of the Tribunal earlier also wherein it was held that hot tops are not modvatable items. He, therefore prays that the mater may be referred to the Hon'ble Punjab and Haryana High Court for their considered view on the issue.
3. Shri B.M.Sharma, ld.Consultant opposes the request and submits that this issue came up before another bench of this Tribunal in their own case and the Tribunal by its Reference Order No.E/Ref/25/97-NB dt. 9.5.97 rejected the application of the Revenue. He submits that since the issue has already been decided by the Hon'ble Calcutta High Court in the case of Singh Alloys [1993 (66) ELT 594]; that there was no question of law referrable to High Court. He submits that the issue is their case is fully covered by the above decision of the Tribunal in their own case and prays that reference application may be rejected.
4. I have heard the rival submissions. I note that there was decision of the Tribunal holding that hot tops are not modvatable items. However, I find that than decision of this Tribunal was not upheld by subsequent bench of the Tribunal, In view of the fact that very same issue came up before the Hon'ble Calcutta High Court holding that hot tops are chemical items and are modvatable items. This fact that hot tops are chemical is not rebutted. Following the ratio of this decision of the Tribunal, I hold that no point of law arises and hence reference application is rejected.