TMI Blog2011 (1) TMI 1016X X X X Extracts X X X X X X X X Extracts X X X X ..... t in dispute. Thus agreeing with the respondent's contention that the interest liability would arise from the date of wrong utilisation of credit in view of the judgment of Commissioner of Central Excise, Delhi vs. Maruti Udyog Ltd. (2006 (10) TMI 63 - HIGH COURT,PUNJAB & HARYANA). In the instant case, interest has been calculated from the date of credit taken. Therefore, the quantum of interest h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nder 32091010 of the Schedule to the Central Excise Tariff Act, 1985. The respondent availed CENVAT credit on capital goods in respect of certain items like racks and lamp poles falling under Chapter 73 which were not eligible for CENVAT credit. The respondents were directed to reverse the wrongly availed CENVAT credit which they accordingly reversed but they did not pay interest amounting to Rs. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on the goods in question. However, the interest was calculated from the date they have taken the credit whereas they have utilised the credit only after 17 months from the date they have taken the credit. Therefore, the interest should be calculated from the date they availed the credit and for this proposition the respondent rely upon the decision of the Hon'ble High Court of Punjab Haryana in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... case is remanded to the adjudicating authority for the limited purpose of re-quantifying the interest from the date of wrong utilisation of credit till the date of payment of the wrongly availed CENVAT credit. Needless to say that a reasonable opportunity of hearing may be granted to the appellant. The appeal is allowed by way of remand. (Dictated in Court) - - TaxTMI - TMITax - Central Ex ..... X X X X Extracts X X X X X X X X Extracts X X X X
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