RATHI SUPER STEELS LTD. Vs. CCE

JUDGEMENT

(1.) HEARD both sides.

(2.) APPELLANTS filed this appeal against the order in appeal passed by the Commissioner (Appeals) whereby the benefit of CENVAT credit was denied to the appellants on the ground that appellants are not entitled to take credit in respect of the invoices issued by the appellants.

(3.) BRIEF facts of the case are that the appellants are engaged in the manufacture of Bars/Rods. After conversion of the goods the same are despatched to various parties as per the direction of Tata Steel. On receipt of the raw material, the appellants were taking CENVAT credit of duty paid amount. After conversion of bilts into Bars/Rods certain quantity of raw material remains unutilized with the appellants. The appellants were clearing the remaining quantity of raw material two other manufacturers on their own invoices. Appellants were also purchasing the same portion unutilized raw material which was in their factory from Tata Steel. Such raw material, the appellants were clearing on their own invoices in their own name after payment of duty and were taking credit on such invoices. This credit was denied on the ground that the appellants cannot take credit in respect of the goods cleared by them.