Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2014 (7) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2014 (7) TMI 399 - AT - Central ExciseDemand of interest and penalty - availment of ineligible Cenvat credit - Held that:- Appellant utilised the ineligible credit and, therefore, they are liable to pay the interest under Section 11AB of the Act, 1944 read with Cenvat Credit Rules, 2002. The decision of the Larger Bench of the Tribunal in the case of Machino Montel (I) Ltd. [2004 (4) TMI 101 - CESTAT, NEW DELHI] was overruled by the Hon'ble Punjab and Haryana High Court [2006 (7) TMI 23 - HIGH COURT OF PUNIAB & HARYANA (CHANDIGARH)]. Hence, the demand of interest is justified. Regarding the penalty - Held that:- It is seen that the appellant had availed ineligible credit on three occasions, which was detected by the audit party. The imposition of the penalty is justified - However, penalty is reduced - Decided partly in favour of assessee.
|