Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2014 (4) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2014 (4) TMI 145 - AT - Central ExciseCENVAT Credit - Fraudulent CENVAT Credit taken - CENVAT credit taken was deposited before the issue of show cause notice - Penalty u/s 11AC - Bar of limitation - Held that:- appellant was a party to the fraud committed in availing CENVAT credit on grey fabrics which was never received. Accordingly, CENVAT credit has been correctly denied by the lower authorities by invoking extended period - So far as extending the option of 25% reduced penalty under Section 11AC to the main appellant is concerned, it is observed that neither the adjudicating authority nor the first appellate authority has allowed this option to the main appellant. Accordingly, main appellant is allowed to avail the option of payment of 25% reduced penalty under Section 11AC of the Central Excise Act, 1944 if the entire amount of duty and interest along with 25% reduced penalty is paid within one month from the receipt of this order - there was clear-cut knowledge of the Partner Shri Biren H. Vekharia that credit is being taken fraudulently. Therefore, penalty imposed upon him has been correctly upheld by the first appellate authority - Decided partly in favour of assessee.
|