TMI Blog2012 (7) TMI 878X X X X Extracts X X X X X X X X Extracts X X X X ..... t High Court in case of C.C.E. v. Creative Enterprises, reported in [2008 (7) TMI 311 - GUJARAT HIGH COURT] has held that if duty has been collected by the Department on a final product manufactured by an assessee, the Cenvat credit has to be allowed and the same cannot be subsequently denied on the ground that the process does not amount to manufacture. This judgment has been upheld by the Apex Court vide judgment reported in [2009 (7) TMI 1206 - SUPREME COURT]. That being the case, prima facie, we do not find any merit in the plea of the department, that since the process undertaken by the appellant does not amount to manufacture, the Cenvat credit availed by the appellant is liable to be recovered from them. Thus, we find it is a fit cas ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to manufacture, no excise duty was payable on the printed wrappers cleared by the appellant to their contract manufacturing units and, as such, there was no occasion for availing of Cenvat credit. On this basis, the Cenvat credit availed in respect of BOPP film, polyester film and other inputs used in making printed laminated sheets was sought to be recovered along with the interest by issue of a show cause notice. The appellant contested the show cause notice which was ultimately adjudicated vide Order-in-Original dated 4-4-2012 resulting in confirmation of Cenvat credit demand with interest and equal amount of penalty. 4. Ms. Padmavati Patil, Advocate for the appellant has contended that the appellant has all through been paying the e ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nal product manufactured by an assessee, the Cenvat credit has to be allowed and the same cannot be subsequently denied on the ground that the process does not amount to manufacture. This judgment has been upheld by the Apex Court vide judgment reported in 2009 (243) E.L.T. A120 (S.C.). That being the case, prima facie, we do not find any merit in the plea of the department, that since the process undertaken by the appellant does not amount to manufacture, the Cenvat credit availed by the appellant is liable to be recovered from them. Thus, we find it is a fit case in favour of the appellant to justify the waiver of condition of pre-deposit of duty demand. Stay application is allowed. The condition of pre-deposit of duty demand, interest an ..... X X X X Extracts X X X X X X X X Extracts X X X X
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