TMI Blog2015 (5) TMI 55X X X X Extracts X X X X X X X X Extracts X X X X ..... credit, Hon'ble Gujarat High Court in the case of Indsur Global Ltd. vs. Union of India [2014 (12) TMI 585 - GUJARAT HIGH COURT] has gone into the constitutionality of the provisions of Rule 8 (3A) and has held in clear terms that the condition contained in sub-Rule (3A) of Rule 8 for payment of duty during the period of delay beyond the period of one month from the due date without utilising the Cenvat credit, till the Assessee pays the outstanding amount is constitutional. In view of this, the requirement of pre-deposit of the duty demand, interest and penalty is waived for hearing of the appeal and recovery thereof is stayed. - Stay granted. - Excise Stay Application No.52966 of 2014, Appeal No. 52491 of 2014 - - - Dated:- 20-1-2015 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... unt of ₹ 55,58,681/- alongwith interest and imposition of penalty on them, as the clearances made on payment of duty through Cenvat credit account were to be treated as the clearances made without payment of duty. The show cause notice was adjudicated by the Commissioner, Central Excise, Delhi - I. In course of hearing before the Commissioner, the appellant pleaded that the default of ₹ 6,63,419/- in payment for May 2013 was due to clerical mistake, as at that time the appellant had Cenvat credit balance of ₹ 16,67,736/-in their Cenvat credit account and they could have paid the entire duty by 5th June, 2013 by partly utilising the Cenvat credit and the duty of ₹ 6,63,419/- was not paid due to clerical mistake, and t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f default beyond the period of one month from the due date, the assessee is required to pay duty through cash without utilising the Cenvat credit, Hon'ble Madras High Court in that matter has not gone into the constitutionality of this provisions, that since Rule 8 (3A) has been declared it as unconstitutional, during the period of default beyond the period of one month from the due date, the assessee cannot be asked to pay duty in respect of the clearances through PLA and that the impugned order is, therefore, not correct in view of the above-mentioned judgment of Hon'ble Gujarat High Court. He, therefore, pleaded for waiver from the requirement of pre-deposit. 4. Shri R.K. Grover, the learned DR, opposed the stay application by ..... X X X X Extracts X X X X X X X X Extracts X X X X
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