SYNTHETICS LTD Vs. UNION OF INDIA

JUDGEMENT

(1.) PETITIONER Company is manufacturing various types of Nylons and Polyester Yarn which is subjected to Excise Duty under the Central Excise Act.

(2.) IT seems to have claimed credit under 'modvat Scheme' for one of its claimed products born out of the manufacturing process namely Methanol, on the plea that it was a final product and fell within the ambit of Notification No. 177/86.

(3.) REVENUE, however, rejected the plea and Superintendent, Central Excise, Ujjain, issued show cause notices, dated 15-2-1991, 25-4-1991, 30-5-1991, 20-6-1991, 23-8-1991 and 18-11-1991 (Annexures C/l to C/6) to the Company to show cause for availment of allegedly wrong credit under the 'modvat Scheme'.