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2017 (1) TMI 298 - AT - Central ExciseInterest for delayed reversal of credit - imposition of penalty - removal of chassis to the sister concern - bonafide belief that no duty is required to be paid when the goods sent to one's own Unit - whether demand of interest justified? - Held that: - on pointing out the irregularity by the Audit Wing, since the cenvat amount was promptly reversed by the appellant before issuance of show cause notice, I am of the view that in terms of the decision of this Tribunal in the case of Paper Products Ltd. [2012 (12) TMI 738 - CESTAT AHMEDABAD], no interest is payable by the appellant. This case is revenue neutral inasmuch as had the cenvat credit been reversed, the same would have been eligible for credit to the sister unit - there is no loss of Revenue to the Government Exchequer, and as such, there is no question of compensating the Government for loss of any Revenue. Imposition of penalty under sub-rule (1) of Rule 15 ibid - Held that: - since the authorities below have not specifically allege that wrong cenvat credit has been availed by the appellant, I am of the view that sub-rule (1) of Rule 15 ibid cannot be invoked in the facts and circumstances of this case for imposition of penalty. Appeal allowed - decided in favor of appellant.
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