A point was raised in the 36th Customs and Central Excise Advisory Council Meeting held on 10th January, 1997 that the Central Excise officers take undue time in deciding show-cause-notices, wherein replies are already furnished by the assessees in context of Modvat Credit case. Ordinarily, when a show-cause-notice is issued to the assessee, the utilization of the credit to the extent of the amount specified in the show-causes under financial hardships to the assessee is those cases wherein Modvat Credit is found admissible to the assessees on adjudication.

2.    The matter has been examined by the Board and I am directed to say that all cases of irregular availment of Modvat Credit should be decided within three months from the date of receipt of reply to the show-cause-notice. In exceptional circumstances where the adjudicating officer is unable to decide the case within the stipulated norms, the Commissioners of Central Excise should personally monitor such cases and ensure their speedy disposal.