TMI Blog2009 (8) TMI 607X X X X Extracts X X X X X X X X Extracts X X X X ..... without merit and the same are dismissed. - E/1086/2007, E/2761 and 2811/2006 - A/483-485/2009-WZB/C-IV/(SMB), - Dated:- 17-8-2009 - Shri Ashok Jindal, Member (J) Shri S.M. Vaidya, JDR, for the Appellant. Shri P.K. Gavande, Consultant, for the Respondent . assessee. [Order] - Two appeals are filed by the Revenue and one appeal by the assessee. 2. The brief facts of the case are that the assessee is the manufacturer of excisable goods and are availing the Cenvat credit on inputs viz., wire rods. 3. During the month of September, 2004 to January, 2005, the assessee had availed Cenvat credit on the inputs supplied by the Central Excise registered dealer M/s. D.M. Engineering Ltd. The Superintendent of Central Excise, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 3(3) of Cenvat Credit Rules, 2002. 5. A show cause notice was issued, duty was imposed along with interest and penalty in two separate orders-in-original. Duty was confirmed against one order-in-original No. 575/2005 dated 29-12-2005 and the penalty was reduced to Rs.20,000/-. 6. Aggrieved by the same, the Revenue filed two appeals (a) for not upholding the order-in-original No. 562/2005 dated 10-10-2005 imposing the duty of Rs. 56,110/- along with interest and equivalent amount of penalty, and (b) for enhancement of penalty from Rs.20,000/- to Rs.1,19,631/-. 7. Aggrieved by the order, the assessee also filed an appeal challenging confirmation of duty, interest and penalty. 8. Heard. 9. In this case, the main issue is that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Considering the case laws referred by the ld. Advocate and going through the facts and circumstances of the case, it is well settled that the credit to be taken is the actual duty paid and that the buyers has no responsibility in regard to the ensuring that duty has been correctly paid by the manufacturer of the inputs. The rule permits variation of Modvat credit only on account of a finding in a proceeding against the supplier of the inputs that the duty has not been correctly paid. Thus variation of Modvat credit amount can be consequential only. This is a clear case here. The original assessment of inputs has not been varied. The assessee is not having any responsibility to ensuring that the correct duty paid by the manufacturer of the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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