TEXMO INDUSTRIES Vs. COMMISSIONER OF C. EX.

JUDGEMENT

(1.) THE appellant purchases pig iron and foundry chemicals and manufactures castings out of them. All these items are notified for the purpose of Mod vat credit as inputs/final products. Accordingly, the appellant took the excise duty paid on the pig iron and foundry chemicals (inputs) as Modvat credit.

(2.) THE manufactured castings were mostly sold after payment of excise duty. About 10% of the castings were also captively consumed in the manufacture of power driven pumps.

(3.) THE captively consumed castings were exempt from duty under Notification Nos. 8/96 and 4/97. So were the power driven pumps (under Notification No. 16/96) or they were assessable at 'Nil' rate of duty.