JINDAL IRON AND STEEL CO. LTD. Vs. CCE

JUDGEMENT

(1.) Heard both sides.

(2.) A synopsis of the functioning of various items involved in the dispute was presented during the hearing by the learned consultant. On going through the functional role of the disputed items, it is noticed that, each of them is either a part of Programmable Logic Controller, which is an automation system installed in the factory or are parts, or sub assemblies of connected equipments/machinery. The D.R. opposed the claim for credit on Industrial Vacuum Cleaner, stating that the same is not used "in or in relation for manufacture". However, I note that in an automation plant, providing dust free environment for trouble free operation of the machinery is very important and therefore the Industrial Vacuum Cleaner is an essential equipments for the production process, and hence permissible for grating credit.

(3.) Accordingly all the appeals succeed and the same are allowed. Impugned orders of the Commissioner (Appeals) are consequently set aside.