C.C.E. Vs. SOUTHERN PETROCHEMICALS INDS.

JUDGEMENT

(1.) THIS is a Revenue appeal against Order -in -Appeal No. 239/97 (M), dated 14 -10 -1997 passed by Commissioner (Appeals) wherein certain items were allowed as capital goods under Rule 57Q. These are as follows : -

(2.) HEARD Ms. Aruna Gupta, ld. DR., who submits that as mentioned in the grounds of appeal, the above items are not directly involved in the production of excisable goods. Neither are the parts and accessories of such goods in view of specific functions of these 6 items. They are also not specifically included in Clause 1(c) and 1(d) of Explanation to Rule 57Q. Furthermore, since the Transformer is a 33KV, therefore this capacity does not exceed 75 KVA which alone are included as capital goods as per Clause l(d)(vi) of Explanation to Rule 57Q. Therefore, the order -in -appeal needs to be set aside.

(3.) SHRI S. Sekhar, Shri R. Gokul, and Shri R. Lakshminarayanan appear on behalf of the respondents. They submit written submissions for each of these 6 items and reiterates the same.