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2015 (5) TMI 699 - AT - Central ExciseWaiver of pre deposit - Denial of CENVAT Credit - Inputs used for job work - Held that:- When there is no physical removal of the cenvated inputs, there is no requirement to reverse the credit under Rule 3(5) of the Cenvat Credit Rules, the appellant have strong prima facie case in their favour. In view of this, amount of ₹ 2.01 crores already paid by the appellant is, in our view, sufficient for hearing of their appeal. As regards Shri Pawan Batra, DGM is concerned, we are of the prima facie view that in the circumstances of this case, there does not appeal to be any justification for imposition of penalty on him under Rule 26 of the Central Excise Rules, 2002. Hence, the requirement of pre-deposit of penalty by Shri Pawan Batra, DGM for hearing of their appeal is waived. Credit had been taken by Bhiwadi Unit on the basis of the supplementary invoices issued by the Chopanki Unit while non-reversal of this credit by the Chopanki Unit was deliberate - Held that:- Following decision of Karnataka Soaps & Detergents Ltd. - [2005 (6) TMI 182 - CESTAT, BANGALORE] it is held that Rule 9(1)(b) is not-applicable in case of inter-unit transfer, the appellant have a prima facie case in their favour and as such, the requirement of pre-deposit of cenvat credit demand, interest and penalty is waived for hearing of their appeal and recovery thereof is stayed. Credit has been taken by the Bhiwadi Unit on the basis of the certain invoices regarding use of the cenvated inputs by Chopanki unit in the job work for Bhiwandi unit which the Chopanki Unit was not required to pay any amount under Rule 3(5) - Held that:- Following decision of MDS Switchgears Ltd. [2008 (8) TMI 37 - SUPREME COURT] - Stay granted.
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