COMMISSIONER OF CENTRAL EXCISE Vs. CHEMPLAST SANMAR LTD

JUDGEMENT

(1.) THE Honourable Chief Justice: this is a reference application under Section 35 (H) (1) of the Central Excise Act, 1944 by which the following substantial question of law is sought to be referred for our opinion: -Whether MODVAT credit could be allowed at a later date without following any procedures as prescribed under Chapter V (AA) of the erstwhile Central Excise Rules, 1944.

(2.) HEARD the learned counsel for the parties.

(3.) THE assessee M/s. Chemplast and Plastics India Limited, Mettur Dam is the manufacturer of various inorganic and organic chemicals falling under Chapters 28 and 29 respectively of the schedule to the Central Excise Tariff Act, 1985. The assessee is manufacturing chlorine falling under sub heading No. 2801. 10 of Schedule to the aforesaid Act, and a portion of the chlorine so manufactured is being removed for the manufacture of Hydrochloric Acid classifiable under sub heading No. 2806. 10 of the said Act, and exemption in respect of chlorine has been claimed as per Notification No. 40/85ce dated 17. 03. 1985 as amended.