ORDER
S.L. Peeran, Member (J)
1. This appeal arises from order in appeal No. 114/99(H-III)-CE and 22.11.1999 passed by the Commissioner (Appeals), Hyderabad who has held that the appellants are not entitled to the benefit of Modvat Credit on copper wire rope, copper strip and HSD oil in terms of Rule 57Q of the CE Rules, 1944.
2. Shri C. Chidananda Rao, learned Consultant appearing for the appellants submits that does not press for the credit on HSD oil in view of the Finance Act, 2000 making it retrospectively applicable and therefore, not granting credit in respect of HSD oil. The larger Bench of the Tribunal in the case of Chemo Pump Tissues and Ors. v. CCE as reported in 2000 (38) RLT 1988 : 2000 (89) ECR 422 (T) has noted the retrospective applicability of the Finance Act, 2000 in this judgement.
3. He submits that as regards the other two items are concerned, i.e. copper wire rope and copper strip, the Tribunal has held that the benefit is required to be extended to both these items as held in the case of Jawahar Mills Ltd. v. CCE as . He submits that the issue is covered in respect of these two items in favour of the assessee. He submits that the benefit is required to be extended to these two items in terms of the said citation.
4. Shri M. Kunhikannan, learned DR reiterates the departmental view.
5. On consideration of the submission I notice that the issue pertaining to benefit of Modvat Credit in respect of HSD Oil is not settled by the Larger Bench in the case of Chemo Pulp Tissues and Ors. (supra) in the light of the legislative amendment made to the Finance Act, 2000. Therefore, the order pertaining to Modvat Credit in respect of HSD Oil is confirmed.
6. In so far as Modvat Credit in respect of copper wire rope and copper strip is concerned, the appellants are entitled to Modvat Credit in respect of these items, the issue having been settled in their favour in terms of the larger bench Judgment in the case of Jawahar Mills (supra). Therefore, the appeal pertaining to these two items viz. Copper wire rope and Copper strip, is allowed with consequential relief if any. The appeal is thus partly allowed.
(Dictated and pronounced in open Court).
