COMMISSIONER OF C. EX., MANGALORE Vs. MRPL

JUDGEMENT

(1.) THE Revenue is aggrieved with the Order -in -Appeal No. 300/2005 -CE dated 23 -11 -2005 by which he has set aside three Orders -in -Original Nos. 54/2004 dated 8 -11 -2004 and 50 and 51/2004 both dated 7 -2 -22005 passed by the Additional/Assistant Commissioner of Central Excise, Mangalore. The Commissioner (Appeals) has noted that the assessee, after fully utilizing the Capital Goods and after its life was exhausted, removed the same as waste and scrap. The Revenue proceeded to recover the Cenvat credit utilized on the Capital Goods and inputs cleared during July, 2002 to March, 2003. The Commissioner (Appeals), after due examination, noted that the Capital Goods fulfilled its utility and, therefore, when it was removed as waste and scrap, they are not required to reverse the credit.

(2.) THE learned Counsel relies on the following judgments : - (i) Precot Mills Ltd. v. CCE, Tirupathi - 2007 (208) E.L.T. 510 (Tri. -Bang.) (ii) Rajasthan Spinning & Weaving Mills Ltd. v. CCE, Jaipur - 2006 (193) E.L.T. 601 (Tri. -Del.) (iii) CEAT Ltd. v. CCE, Nasik - 2005 (192) E.L.T. 380 (Tri. -Mumbai) (iv) Zuari Cement Ltd. v. CC & CE, Tirupathi - 2007 (210) E.L.T. 219 (Tri. -Bang.) (v) Panasonic Carbon India Co. Ltd. v. CCE, Guntur - 2007 (213) E.L.T. 391 The learned Counsel furnished a copy of all these judgments.

(3.) THE learned JDR produced a copy of a contra order in the case of Indian Aluminium Co. Ltd. v. CCE, Bhubaneswar -II - 2004 (170) E.L.T. 31 (Tri. -Kolkata). He submits that the Indian Aluminium case is rendered by the Kolkata bench and it should be applied. In that case empty drums were removed, which were considered as waste and scrap and they were directed to reverse the credit.