COMMISSIONER OF CENTRAL Vs. VIJAYA OXYGEN CO. LTD,

JUDGEMENT

(1.) The short point to be considered in be considered in these appeals is whether lubricating oil is an eligible input in terms of Rule 57 A of the Central Excise Rules, 1944. We find that the Commissioner while deciding the issue in favour of the party has followed the decision of the Tribunal in the case of Pragathi Paper Mills Ltd. v/s CCE, Meerut Reported in 1996 (98) E.L.T. 137. Further more it was submitted by the counsel that the issue with reference to very item has been considered by a larger bench in the case of Commissioner of Customs and Central Excise, Meerut V/s Modi Rubber Ltd.2999 (119) E.L.T. 197, in which it was held that lubricating oil and greases used for the purpose of lubricating machines and machineries which were used for the manufacture of the final product is essential for their working and integrally connected with the manufacture, hence lubricants in question qualified to be inputs for the purpose of modvat credit under Rule 57 A of Central Excise Rules, 1944. We are not convinced with the arguments advanced on behalf of the Revenue that the item in question is used for electronic generators and accordingly the item as such is not an eligible input.

(2.) Since the issue involved herein has already been covered by the decision referred to above, we do not find any infirmity in the impugned order and accordingly all these appeals are dismissed. (Pronounced and dictated in open Court)