- (1.) This appeal has been preferred by the Revenue against the order of the Tribunal allowing Modvat credit of Rs. 61,572/-, rejecting the argument that the goods in question being used for assembly of fire hydrant system falling under Chapter 84, were liable to be excluded from the definition of "capital goods" under Rule 57Q of the Central Excise Rules, 1944 (for short, the Rules').
(2.) The assessee availed Modvat credit during the period 4/98 to 4/99, which was allowed by the adjudicating authority but disallowed by the Commissioner (Appeals) on the ground that the goods falling under heading 84.24 were specifically excluded from the purview of Modvat Scheme during the relevant period. The Tribunal restored the view taken by the adjudicating authority observing :- "....but from the Order-in-Original, it is evident that the capital goods in dispute, had been procured by the appellants from different suppliers at different times under the cover of duty paid invoices, which did not describe the goods as parts of fire fighting equipment. Rather the invoices contained independent specific chapter sub-heading, such as Sub-heading 8408 for I.C. Engine No. 8481.00 for valves and No. 8537 for electrical control panel. The goods of one of these sub-headings stands excluded under Rule 57Q."
(3.) We have heard learned counsel for the Revenue.;