Full Judgment
1. The respondents herein are engaged in the manufacture of HDPE fabrics. They took modvat credit in the RG 23A Part I register on 10/11/92, 11/11/92 and 12/11/92 whereas the declaration under Rule 57G was filed on 13/11/92. Show cause notice proposing disallowing of credit and imposition of penalty was issued on 7/5/93; the Adjudicating Authority by his order dated 20.4.95 confirmed the demand by denying the credit and also imposed penalty of Rs. 5,000/-; the lower Appellant Authority set aside the adjudication order holding that although the correct procedure to have been followed by the assessee was to apply for transitional credit separately in terms of Rule 57H, since there is no dispute that the inputs had been received against duty paying documents and credit was availed (utilised) only after filing of the declaration under Rule 57G, substantive benefit of modvat credit should not be denied. Hence, this appeal by the Revenue.
2. On hearing the ld.departmental representative and perusing the records, I find that the Commissioner (Appeals) has relied upon the decision in the case of Kerala State Electronics Development Corporation Ltd. (1991(55) ELT 128 (Tri). The Revenue appeal does not challenge the basis of the Commissioner (Appeals) order. Further, the decision relied upon by him is applicable in all fours to the facts of the present case. I, therefore, see no legal infirmity in the order of the lower authority, uphold the same and reject the appeal.