SUNRISE SOAPS & CHEMICALS PVT LTD & HINDUSTAN LEVER LTD Vs. COMMISSIONER OF CENTRAL EXCISE & CUSTOMS, RAJKOT

JUDGEMENT

(1.) SUNRISE Soaps & Chemicals Private Ltd, the appellant in appeal E/647/94) utilises in the manufacture of soap by it of one of the specified minor oil for use of which money credit under Rule 57K was permitted by notification 192/87. The department proposed disallow credit on the ground that one of the conditions in the notification, that if of the oil is hydrogenated elsewhere than in the factory of utilisation of that oil, the procedure prescribed by notification by the Collector should be followed. In the order impugned in the appeal, the Collector finds that the procedure had been followed and that there is no case against the manufacturer on this ground. He concludes that the credit would be available on merits to this manufacturer. However, he holds that, subsequent to the use of the oil, the licence issued to this manufacturer had been cancelled and it is not therefore entitled to the credit.

(2.) APPLYING the ratio of that decision, it would follow that the money credit earned by Sunrise would be available to utilisation by Hindustan Lever Ltd.

(3.) ACCORDINGLY , the appeal of Hindustan Lever Ltd is allowed and the impugned order set aside. The appeal of Sunrise Soaps and Chemicals Pvt. Ltd. therefore does not survive.