(1.) THIS is an appeal filed by the Revenue against the order of the Collector (Appeals) allowing Modvat Credit on explosives as inputs to the respondents under Rule 57A of the erstwhile Central Excise Rules 1944. Examined the records and heard both sides.
(2.) THE respondents are cement manufacturers. During the relevant period, they used explosives for the mining of limestone in their mines situated outside the cement factory. They claimed the benefit of Modvat credit of the duty paid on the explosives, under Rule 57A. The Department resisted this claim. Ultimately, the Commissioner (Appeals) allowed the assessee's claim. Hence this appeal of the Revenue.