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2010 (10) TMI 224 - CESTAT, AHMEDABADCenvat credit – Transfer of credit – One unit closed down and all inputs and capital goods shifted to factory of other unit – An unutilized cenvat credit to the extent of Rs. 9,74,895/-was available with M/s. Disha Industries. The same was transferred by them to M/s. Sheil Industries on the ground that as both the units are proprietary units with a common proprietor. - Held that:- Merely because both are proprietary units with one common proprietor cannot be held to be the reason for considering both the units as one and the same. If that was the case, there was no need for the proprietor to float two different units under two different names - As the provisions of Rule 10 do not apply to the facts of the case in as much as it cannot be held that M/s. Disha Industries has shifted its factory to another site and there being no other provision for transfer of unutilized cenvat credit, such transfer was in contravention of the provisions of law. - Demand confirmed - penalty waived.
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