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2016 (4) TMI 14 - AT - Central ExciseCENVAT credit wrongly availed - penalty imposed - Held that:- The appellants have reversed the credit and also deposited the interest. The appellants have not been able to substantiate their act of availing credit as per provisions of law. Therefore the finding of the authorities below that appellant has wrongly availed credit does not call for any interference. Equal amount of penalty under Rule 15 read with 11AC is imposed upon the appellants besides separate penalty upon the Vice President under Rule 26 of Central Excise Rules. The appellant has reversed the credit alongwith interest before the issuance of show cause notice. The appellant reversed the credit and deposited the interest vide GAR-7 Challans dated 17.10.08 and 15.02.2011. But show cause notice dated 18/03/2011 was issued to the appellant and proceedings were initiated. Sub clause (2B) of Section 11A provides that when duty has been so paid no notice shall be served on the assessee. Therefore the penalty imposed is totally unjustified. The same are set aside.
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