ORDER
S.S. Kang, Member
1. The applicant filed this application for waivere of pre-deposit of duty amounting to Rs. 4,53,846/- and penalty of Rs. 40,000/-. The applicants are engaged in the manufacture of cement and they availed the MODVAT credit on Oxygen give and which are used for welding in the factory. Learned Counsel submits that these gases are used for welding the machinery and for repair purposes and he relied upon the decision of the Tribunal in the case of Supreme Paper Mills Ltd. Vs. Commissioner of Central Excise, Bolpur, reported in 1999 (112) E.L.T. 249 (Tribunal) and submits that the Tribunal in this case allowed the benefit of MODVAT credit in respect of these gases by saying that these are used for cutting and welding purposes in relation to the manufacture of final product.
2. Learned JDR appearing on behalf of the Revenue submits that these gases are used for maintenance and reparing of the machinery. Therefore, these are not inputs used in the manufacture of the final product.
3. Heard both sides
4. In view of the decision of the Tribunal in the case of Supreme Paper Mills Ltd. Vs. Commissioner of Central Excise, Bolpur (Supara) where the Tribunal held that Oxygen gas, D.A. gas, are used for cutting and welding purpose in relation to the manufacture of the final product, hence are eligible for the benefit of MODVAT credit, prima facie, it is a fit case for waiver of pre-deposit of duty and penalty. Therefore, pre-deposit of penalty is waived for hearing of the appeal. Adjourned to 13.9.2001.