COMMISSIONER OF CUSTOMS AND Vs. NATIONAL STEEL INDUSTRIES

JUDGEMENT

(1.) BY the impugned order Ld Commissioner dropped the proceedings under the impugned SCN for disallowing of Modvat credit. Revenue has filed the captioned appeal against the findings of the Ld. Commissioner.

(2.) THE facts of the case in brief are that the respondents are engaged in the manufacture of Galvanised Coils/Sheets falling under Chapter 72 of the Central Excise Tariff Act 85. They are also availing themselves of Modvat credit in terms of Rule 57A of the Central Excise Rules, 44. During the scrutiny of R.T. 12 returns, it was noticed that the respondents had availed Modvat credit amounting to Rs. 16,95,418. The documents were not found appropriate inasmuch as for the credit for Rs. 3,45,451, the gate passes on the strength of which this credit was taken, did not bear any endorsement for transfer in favour of the respondents.

(3.) IN respect of Modvat credit amounting to Rs. 8,40,627 it was noticed that the respondents had taken Modvat credit on the strength of Annexure issued under Rule 57F(2). If was alleged that these documents do not bear any endorsement in favour of the respondent.