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2013 (11) TMI 780 - AT - Central ExciseInterest and penalty on wrong availment of cenvat credit – Appellant took SSI exemption – benefit of Cenvat credit availed by mistake – Duty along with interest and penalty demanded - Held that:- The credit availed by the assessee was lying unutilized in their records and was immediately reversed on being pointed out by the Revenue – Following UOI and Ors. Versus Ind-Swift Laboratories Ltd. [2011 (2) TMI 6 - Supreme Court] and CCE & ST, Bangalore vs. Bill Forge Pvt. Ltd. [2011 (4) TMI 969 - KARNATAKA HIGH COURT] - In case the wrongly availed credit stand reversed without utilizing the same, no interest would become liable to be paid – the demand of interest set aside. The appellant have accepted that they had wrongly availed the credit but it was on account of inadvertent mistake and the fact that appellant continued to reflect the same in their statutory records i.e. Cenvat credit account as also in the quarterly return reflects upon the bonafide of the appellant - The fact of non-utilization of credit and reflection of the same in statutory records reflects upon absence of attempt and commitment causing any prejudice to the Revenue, there is no occasion for imposition of penalty - the appellant was availing credit with due knowledge of the Revenue and was reflecting the same in the statutory records - there was no malafide on the part of the assessee for inviting any penal action against them – Duty demand confirmed and the Penalty set aside – Decided in favour of Assessee.
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