TMI Blog2009 (5) TMI 425X X X X Extracts X X X X X X X X Extracts X X X X ..... ed on such inputs used in such repair of machinery. The assessees had reversed the entire amount of Cenvat credit as directed by the lower authorities. The issue involved in this case is whether the assessee is required to pay the interest in respect of the Cenvat credit availed by them prior to 14-5-2001. Held that- for ineligible Cenvat credit availed by the appellant on the inputs prior to 11.5.2001 and used for repairing and reconditioning of machinery, the question of payment of interest does not arise. As regards the period post 11.5.2001, the assessee is required to pay the interest such amount which has been reversed, accordingly allow the appeal partly. - C/654/2005 - 738/2009, - Dated:- 19-5-2009 - S/Shri T.K. Jayaraman, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... der dated 4-4-2007 [2007 (216) E.L.T. 364 (Kar.)]. In these circumstances this appeal is also partly accepted in terms of our order dated 4-4-2007 passed in CEA No 43/2006. Question of law in so far as penalty is concerned is answered against the revenue and in so far as interest is concerned, the same is not answered. Matter is remitted back to the tribunal only for consideration of interest only for the delayed period. Parties are directed to appear before, the tribunal on or before 30-4-2007. The tribunal is directed to complete the proceedings within six months from the date of receipt of a copy of this order." This matter is listed today before us to decide whether the assessee in this case is liable for payment of interest for the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... a period of 14-5-01 interest liability may arise that is what is contended. 6. Heard the learned JDR. 7. We find that the issue involved in this case is regarding the liability to pay interest on the amount of ineligible credit availed by the appellant, for using the duty paid inputs on the machinery, which were repaired and reconditioned and cleared without payment of duty. It is an admitted fact that the machines repaired/reconditioned were removed without payment of duty. It is settled law that in these kind of cases, the amount of input credit availed on the inputs used in this machinery needs to be reversed. The counsel for the appellant is not disputing this position but is only challenging the interest levied under Section 1 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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