LAWS(CE)-2002-3-114

CCE Vs. IPF VIKRAM INDIA LTD.

Decided On March 07, 2002
CCE Appellant
V/S
IPF Vikram India Ltd. Respondents

JUDGEMENT

(1.) THIS appeal has been filed by the Revenue against impugned Order -in -original dated 31.10.2000 vide which the Commissioner has dropped the demand of Rs. 23,21,245.09 against the respondent.

(2.) THE respondents are engaged in the manufacture of detergent. They are receiving detergent powder in bulk from M/s. Hindustan Lever Ltd. for re -packing the same in small packings under brand name of either Sunlight Detergent powder or 'Surf of M/s. Hindustan Lever Ltd. They are paying duty on such small packing under the category of maximum retail price. They are paying duty on such small packing under the category of maximum retail price. They also availed modvat credit of the disputed amount. They were, however, served with show cause notice that they did not show any wastage either in RT -12 returns or in RT -23A Part -I account maintained by them. Therefore, they could not avail modvat credit on the inputs gone in waste while re -packing the bulk detergent powder in small packings and they were asked to reverse the credit under the erstwhile Rule 57I(1)(ii) of the Central Excise Rules.

(3.) THE Commissioner accepted the version of the respondents and dropped the duty demand against them through the impugned order.