9911796707
TMI Blog2008 (12) TMI 624X X X X Extracts X X X X X X X X Extracts X X X X ..... se certain stock of coke on which Cenvat credit amounting to Rs. 7,16,718/- (Rupees Seven Lakhs Sixteen Thousand Seven Hundred and Eighteen only) had been taken by the appellant was washed away in flood before it could be used in manufacture of the final products. Subsequently it was pointed out by the Department that the Cenvat credit taken in respect of the coke, which was washed away in flood, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ct an amount of equal penalty. It is against this penalty that the appellant has filed the present appeal pleading that since at the time of taking Cenvat credit, the same has been correctly taken and since the goods were washed away in flood before the same could be used and subsequently when the department pointed out the Cenvat credit was reversed along with interest, no penalty was imposable. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1 (Tri.-Del.), wherein it was held that when the inputs in respect of which Cenvat credit has been taken were destroyed by fire accident and the appellant had neither informed the fact of the destruction to the department nor reversed the Cenvat credit, even in such circumstances, the penalty is not imposable under erstwhile Rules 57-I (4) and (5) of the Central Excise Rules, 1944. 2.2 The l ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 06 (195) E.L.T. 106 (Tri. -Del.). 3. I have carefully considered the submissions from both the sides. There is no dispute about the fact that the Cenvat credit of Rs. 7,16,718/- which was subsequently reversed along with interest, had initially being taken on receipt of coke to be used as raw material for manufacture of finished goods. But before these inputs could be used, the same were des ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... upra) and M/s. Unicure (I) Pvt. Ltd. (supra) are not on the issue of imposition of penalty in such cases. Therefore following the Tribunal's judgment in case of M/s. Punjab Communications Ltd. (supra), I hold that no penalty is imposable on the appellant. The part of the impugned order upholding penalty on the Appellant is set aside and the appeal is allowed. (Dictated and pronounced in open cour ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
