JAYASWAL NECO INDUSTRIES LTD. Vs. C.C.E.

JUDGEMENT

(1.) HEARD .

(2.) THIS is an application for stay of the demand confirmed against the appellant by adjudicating authority under order dated 27 November 2008 to the tune of Rs. 98,51,997/ - and imposition of equal amount of penalty.

(3.) IT is the contention on behalf of the appellants that the authorities below have ignored the fact that electricity is not an excisable product within the meaning of the term under Section 2D of the Central Excise Act and has further failed to consider the earlier orders of this Tribunal and has wrongly held that the appellants be liable to pay the amount of 10% of the sales price of the electricity on the ground that the appellants have availed Cenvat credit on the input and input services for the said period. Learned Counsel for the appellants has drawn our attention to the decision of the Apex Court in the matter of Govind Saran Ganga Saran v. Commissioner of Sales Tax and Ors. Reported in , in the matter of State of Rajasthan and Anr. v. Rajasthan Chemicals Association reported in and Associated Cement Companies Ltd. v. State of Bihar and Ors. reported in in support of his contention.