MISHRA, J.

The petitioners herein, who have been previously benefited by what is called MODVAT credit are aggrieved by the demands of excise duty, which, according to them, have been made -

(1) in violation of the Notification No. 208/83 dated 1-8-1983;

(2) without complying with the requirements of rules of natural justice; and

(3) in violation of Section 11 A of the Central Excises and Salt Act, 1 of 1944.

Petitioner, Rockweld Electrodes India Ltd., hereinafter called 'Rockweld', manufactures electrodes of various qualities and sizes which are made out of steel wire rods. According to the petitioner, the input steel wire rods are normally purchased from public sector undertakings like Steel Authority of India or units like TISCO. These rods are classified under Heading 72.09 of the Central Excise Tariff Act and are charged to duty at the rate of Rs. 365 per M.T. Rods themselves are obtained from rolling of billets. Billets are charged to duty at the rate of Rs. 365 per M.T. under Heading 72.07 of the Tariff. Although they have named from whom rods are ordinarily procured they have said :

"The petitioner purchases the wire rods from the market and produces electrodes from t