CC AND CE Vs. BAJAJ TEMO LTD.

JUDGEMENT

(1.) These are three appeals filed by Revenue against the common Order -in -Appeal No. 673 -675/2003 dated 22.12.2003 by which the Commissioner (Appeals) has allowed the Modvat Credit (except Rs. 464.06 and Rs 4614.07) to M/s. Bajaj Tempo Ltd.

(2.) In respect of Appeal Nos. E/3548 and 3549/04, the Revenue has also filed applications for condonation of delay in filing the appeals. Shri O.P. Arora, learned S.D.R., mentioned that the Revenue has initialy filed one common Appeal No. E/1546/04 -B within the time specified in Section 35B of the Central Excise Act; that the two supplementary appeals have been filed as the Commissioner (Appeals) has disposed of three appeals by the impugned Order. After hearing Sh. S.A. Gundecha, Director of Respondent Company, we condone the delay in filing these two appeals as the main appeal had been filed within the time limit specified in Section 35B of the Central Excise Act.

(3.) The learned S.D.R. mentioned that the Respondents manufacture motor vehicles and avail of MODVAT Credit of the duty paid on inputs under Rule 57A of the Central Excise Rules, 1944; that they manufacture Matador (L.C.V.) and Tempo Travellers in their factory; that they had utilised the credit of the inputs meant for L.C.V. towards payment of duty on Tempo Travellers; that the Assistant Commissioner has disallowed the MODVAT Credit of duty paid on inputs used in the manufacture of Matador as the same has been utilised towards payment of duty in respect of Tempo Travellers on the ground that credit taken in respect of inputs can be utilised for payment of duty on the final products manufactured from such inputs only; that the Commissioner (Appeals) has, however, allowed the credit holding that such utilisation of credit is permissible under the MODVAT Scheme following the decision in the case of the Respondents themselves as .