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2011 (2) TMI 1169 - AT - Central ExciseCenvat credit of central excise duty/additional customs duty paid - Bogus invoices used to claim credit - Held that:- The statement of Shri Sunil Mittal, Proprietor of Sulabh Impex Corporation alleged to have issued bogus invoices to assessee has been recorded under Section 14 of the Central Excise Act, 1944, which has not been retracted by him and the same is an inculpatry statement acceptiong issuing of bigus invoices - there is ring of truth in the statement of Shri Mittal - Decided against the assessee Peanlty - As when penalty under Rule 15(2) Cenvat Credit Rules, 2004 read with Section 11AC of Central Excise Act, 1944 has been imposed on the Appellant firm, there is no justification for separate penalty of Rs. 50,000/- on the appellant firm under Rule 25 of the Central Excise Rules, 2002 Reduced penalty - since in this case the entire amount of wrongly taken cenvat credit along with interest had been paid even prior to the issue of show cause notice, they should get the benefit of reduced penalty under first proviso to Section 11AC based on the judgement of the Hon’ble Delhi High Court in the case of K.P. Pouches reported in [2008 (1) TMI 296 - HIGH COURT OF DELHI] and accordingly, penalty imposable would be 25% of the wrongly taken cenvat credit
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