TMI Blog2012 (2) TMI 396X X X X Extracts X X X X X X X X Extracts X X X X ..... the Appellant Shri R.K.Varma, DR Present for Respondents Shri Rupesh Kumar, Adv. Per Ms. Archana Wadhwa: Being aggrieved with that part of the impugned order passed by Commissioner(Appeals), vide which he has set aside the penalty, Revenue has filed the present appeal. We have heard Shri R.K.Varma, ld. DR appearing for the Revenue and Shri Rupesh Kumar, ld. Adv. appearing for the respondents. 2. It is seen that the dispute arose in respect of Modvat Credit of duty paid on angles and bars, which were used by the respondents in the construction activities. The above non-availability of Modvat Credit was brought to the notice of the respondents by the Department vide their letter dtd. 24.08.01. The respondents immediately ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the department asking the appellants to supply information is dtd. 24th August, 2001. The appellants responded by reversing the credit through two entries one on 3rd Sept., 2001 and other on 11th Sept., 2001. The promptness with which they corrected the wrong done by them is a distinctly redeeming feature of these proceedings. The appellants have been charged interest for which reason they do not stand to gain in any manner by having availed of inadmissible credit. This appears a fit case for showing a leniency in respect of imposition of penalty. 4. As is seen from above, the appellate authority has attributed suppression to the appellant for the purpose of confirmation of demand of duty. However, while setting aside the penalty, he ha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in as much as they are being used in turbine and generators etc. As such Modvat Credit was being availed on the same by making regular entries in their RG-23(A)(Part-I) as well as in Part-II. It is out of the said stock that certain angles and bars were used for the construction activities without realizing that Modvat Credit is required to be reversed. On being pointed out by the Revenue they complied with the directions and did not even challenge the demand on the question of time bar. In this scenario, he submits that the impugned order of Commissioner(Appeals) setting aside penalty upon them be upheld. 8. From the above para reproduced from Cross Objections, we find that the credit was availed after making entries in the statutory ..... X X X X Extracts X X X X X X X X Extracts X X X X
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