COMMISSIONER OF C EX Vs. SUNDARAM INDUSTRIES LTD

JUDGEMENT

(1.) The Final Order, dated 26-7-2007 passed in Final order No. 926 of 2007 in Appeal No. E/979/2005 by the CESTAT is being challenged in the present Civil Miscellaneous Appeal. The respondent is a manufacturer of moulded rubber products. During the period from July 2003 to March 2004, the respondent has availed CENVAT credit facilities. Under the said circumstances, the show cause notice in question has bean issued on the ground that even waste materials would subsequently be converted into goods and therefore, the respondent is not entitled to avail CENVAT credit facilities in respect of those goods. The claim put forth on the side of the Department has been upheld in Order-in-Original, dated 25-4-2005. The order passed in [order-in-original] has been agitated before the Commissioner of Appeals. The Commissioner of Appeals has upheld the order passed in Order-in-Original and the same has been challenged before the CESTAT in Appeal No. E/979/2005.

(2.) The Appellate Tribunal, after considering the rival existing facts, has simply allowed the appeal and thereby set aside the orders passed by the Authorities. Against the order passed by the CESTAT, the present Civil Miscellaneous Appeal has been preferred.

(3.) At the time of admitting the present Civil Miscellaneous Appeal, the following substantial question of law has been settled for consideration:-