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2011 (6) TMI 582 - AT - Central ExciseNotification No. 178/77-C.E - Cenvat credit - respondent had availed set-off of duty paid - Notification No. 178/77-C.E., did not have any provision for recovery of the set-off of duty wrongly availed. - Section 11A provided for issue of a show-cause notice for duty short levied or short paid or erroneously refunded within a period of six months from the date of payment/refund of duty in normal cases and within a period of five years in cases where suppression of fraud, collusion, etc., were involved – Held that:- set-off of duty paid was taken under Notification 178/77-C.E. from 1-8-1978 to 3-6-1979 whereas the demand for recovery thereof was initiated from November, 1987 to February, 1988 i.e. after lapse of more than eight years. demand for recovery of set-off of duty taken under Notification No. 178/77-C.E. is clearly time-barred and is, therefore, not sustainable. Cenvat credit - set-off of duty availed under Notification No. 201/79-C.E., dated 4-6-1979 - notification No. 201/79-C.E. was rescinded in 1986 without any savings clause and the recovery notice was issued after a lapse of more than a year of the rescission of the notification – Held that:- provisions of said Section 38A, the department’s right of recovery of credit of duty availed as well as respondent’s obligation/liability to pay or to reverse the credit availed, are not vitiated and action taken under Notification 201/79, dated 4-6-1979 survives even after its recession. demand for recovery of set-off/credit of duty paid on inputs taken under Notification No. 201/79-C.E., dated 4-6-1979 is sustainable in law.
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