ORDER
Lajja Ram, Member (T)
1. M/s. K.G. Khosla Compressors Ltd. have filed the present application for rectification of mistake (ROM) with regard to the Tribunal’s Final Order No. A/755/96-NB, dated 12-3-1996. The point for consideration in the Appeal No. E/1159/94-NB, disposed of by the above final order dated 12-3-1996, was whether the foundry chemicals used in the preparation of sand moulds and sand cores were eligible for Modvat credit and whether such Modvat credit could be utilised towards payment of duty on the castings. Following the Tribunal’s decision in the case of Shivaji Works Ltd. v. Collector of Central Excise, 1990 (50) E.L.T. 50 (Tribunal), the appeal was dismissed.
2. In the ROM application, among other decisions, reference has been made to the Tribunal’s Larger Bench decision in the case of Ramakrishna Steel Industries Ltd. v. Collector of Central Excise, Madras, 1996 (82) E.L.T. 575 (Tribunal). In that Larger Bench decision, the Tribunal had observed that the sand mould was incapable of being marketed, has no marketability and was not marketable goods or excisable goods (para 10). It was held that chemicals or resins which were used in the sand mixture for the purpose of producing sand mould are used in relation to the manufacture of steel castings. The Tribunal held that the contrary view taken in the case of Shivaji Works Ltd. v. Collector of Central Excise, 1990 (50) E.L.T. 50 (Tribunal) was not correct.
3. In view of the Larger Bench decision of the Tribunal, the ROM application is allowed. The Order No. A/755/96-B, dated 12-3-1996 is recalled and the appeal is allowed. Ordered accordingly.