COMMISSIONER OF CENTRAL EXCISE, BANGALORE - I COMMISSIONERATE, C.R. BUILDING, QUEENS ROAD, BANGALORE - 560001 Vs. M/S. GRAPHITE INDIA LTD., VISHVESWARAYA INDUSTRIAL AREA, WHITEFIELD, BANGALORE - 560066

JUDGEMENT

(1.) THE assessees are engaged in the manufacturer and clearance of excisable goods namely, graphite electrodes, nipples and graphite products. During the scrutiny of the records it appears that the assessee had availed credit of service tax on catering, pick up service and mobile telephone services. Hence, the assessee was issued with a show cause notice as to why an amount of Rs. 6,14,368/ - should not be demanded/recovered from them being the irregular Cenvat credit availed on the ineligible services for the period from 2005 06 and 2006 -07 along with interest and penalty. The assessee replied to the show cause notice. The assessing officer on considering the same confirmed the demand and imposed interest and penalty. Aggrieved by the same, an appeal was filed before the Commissioner who modified the said order and allowed the appeal, with consequential relief to the extent of credit availed on catering service and mobile service. However, the demand to the extent of credit availed on (Rent a cab service) was confirmed. Aggrieved by the same, the assessee preferred an appeal to the Tribunal. The Tribunal while placing reliance on the Judgment in the case of Stanzen Private Ltd vs. CCE, Bangalore reported in 2009 (14) S.T.R. 316 held that the assessee is entitled for credit on the input service with relation to a Rent -a -Cab service and therefore the assessee was legitimately admissible towards the same.

(2.) HENCE the question of law that arises for consideration in this appeal is as to whether the transportation services provided by the assessee to their staff to pick up from the residence to the factory and vice -versa was input service and in or in relation to the manufacturing activity whether directly or indirectly of the final products and secondly whether the assessee is eligible for a ailment and utilization of the Cenvat credit towards the same.

(3.) THE question of law raised in this appeal having since been answered in the aforesaid Judgment passed in CEA No. 96/2009 and connected maters disposed off on 8 -4 -2011 following the ratio laid down in CEA No. 96/2009 and connected maters this appeal is dismissed.