A. P. Chowdhri, J.

1. This judgment will dispose of 17 writ petitions Nos.6993, 6994, 6992 of 1986, 18, 130, 131, 132, 173, 174, 272, 404, 5252, 1041, 1042, 5977 and 5493 of 1987 and 2703 of 1988. While the main question of the impugned assessments stands settled, some ancillary matters regarding interpretation of certain orders remain to be dealt with. As the material facts in all these writ petitions are substantially identical, it will suffice to refer to the facts in CWP No.6599 of 1986 as being fairly representative of typical facts and circumstances leading to the filing of these petitions.

2. In order to appreciate the questions involved, it is necessary to state the background as under :3. The petitioners in all these writ petitions are manufacturers of steel ingots, steel billets, steel bars, rounds and rods and steel flats etc. The aforesaid products are manufactured by them by primarily using waste and scrap of steel commonly known as bazar Scrap. A scheme was introduced in the Finance Bill, 1986 called the MOD VAT Scheme. Under the scheme the manufacturers of excisable goods were allowed credit in the payment of excise duty etc. on the final products from out of