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2013 (10) TMI 840 - AT - Central ExciseCENVAT Credit - Waiver of Pre-deposit - Rule 4(5)(a) of the CENVAT Credit Rules, 2004 nowhere envisages that the waste and scrap generated at the job-worker's premises should be brought back by the supplier and if they are not brought back, the supplier of raw material is liable to discharge excise duty liability - What is envisaged is that the raw material sent for processing at the job-worker's end, the processed goods should be brought back and if they are not so brought back, the appellant has to reverse the credit taken on the raw materials supplied. Following Commissioner of Central Excise vs. Rocket Engineering Corporation Ltd. [2006 (6) TMI 66 - HIGH COURT BOMBAY] - The liability to pay excise duty arises not under the provisions of Rule 4(5)(a) of the CENVAT Credit Rules, 2004 but under Section3 of the Central Excise Act, 1944 on the manufacture of a marketable commodity as specified in the Central Excise Tariff Act - when the waste and scrap has arisen in the job-worker's premises, the job-worker is the manufacturer of waste and scrap so generated and not the appellant, who is the supplier of the raw material - the appellant has made out a strong case in their favour for grant of stay - unconditional waiver from pre-deposit of the dues adjudged against the appellant and stay recovery during the pendency of the appeal – Stay granted.
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