TMI Blog2016 (11) TMI 227X X X X Extracts X X X X X X X X Extracts X X X X ..... aid clearance only on the ground that the cenvat credit has been used for payment of such liability, is not legally sustainable - The ratio of the Hon’ble Supreme Court’s decision in the case of Jayaswal Neco Ltd. [2015 (8) TMI 404 - SUPREME COURT] referred where interpreting the terms paid excise duty for each consignment by debit to Account Current held that it could not be said to be the only mode of payment of duty during this period. Payment through cenvat credit is also a valid mode of payment - there is no violation of provisions of Rule 8(3A) - appeal allowed - decided in favor of appellant. - Excise Appeal No. 35/2010-EX (DB) - Final Order No. 54380/2016 - Dated:- 21-10-2016 - Dr. Satish Chandra, President And Mr. B. Ravichand ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s of Rules 8(3A). He imposed a penalty of equivalent amount and also further penalty of ₹ 18 Lakhs in terms of Rule 25 of the Central Excise Rules. 2. We have heard both the sides and perused the appeal records. 3. It was submitted on behalf of the appellant that Rule 8(3A), as it existed on 31.03.2006, required an order to be passed by the Asstt. Commissioner to forfeit the facility of monthly payment in terms of Rule 8(1). Admittedly, in the present case, no such order has been passed by the Asstt. Commissioner. Rule 8(3A) was substituted w.e.f. 1.6.2006, which stipulated that in case of default of payment of duty for more than 30 days, the assessee shall pay excise duty for each consignment without utilizing cenvat credit til ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... High Court in case of Indsur Global Ltd. 2014 (310) ELT 833 (Gujarat) held the expression without utilizing the cenvat credit used in Rule 8(3A) was held to be ultra virus and inconsistently. The said decision was concurred by the Hon ble High Courts of Madras, Punjab Haryana, Delhi and Allahabad and has been followed by the Tribunal in various decisions. Reference can be made to the following:- (a) Precision Fasterner -2015(316) ELT 595 (Guj.) (b) Shreeji Surface Coating Pvt.Ltd.-2015(320) ELT764(Guj). (c) A.R. Metallurgicals(P)Ltd.-2015(332) ELT 49 (Madras) (d) CCE Vs.Star Drugs and Research Labs-2016-TIOL-1282-HC-MAD-CX (e) Sandlley Industries -2015(326) ELT 256(P H) (f) CCEvs.Anand Tissue Ltd-2016-TIOL-20 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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