TMI Blog2016 (12) TMI 1374X X X X Extracts X X X X X X X X Extracts X X X X ..... e credit availed. The respondent has reversed it, no doubt, on its own, because of unavailability of adequate quantity of Bauxite. Be that as it may. It has also paid the interest for the delayed part of reversing the credit - there is no willful intent to evade duty and hence the question of invoking the penalty under section 11AC would not arise - appeal dismissed - decided against Revenue. - C.M.A. No. 2187 of 2016 - - - Dated:- 21-10-2016 - Nooty Ramamohana Rao And Anita Sumanth, JJ. For the Appellant : Mr. V. Sundareswaran For the Respondent : Mr. Raghavan Ramabadhran for Mr. Lakshmi Kumaran JUDGMENT ( Judgment of the Court was delivered by Nooty Ramamohana Rao J.) This appeal preferred under section 35G of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... requiring them to reverse the credit, the respondent has reversed the credit in a sum of ₹ 1,59,62,412/- effecting the consequential payments through Challan dated 8.2.2010. 4. They have also effected the payment of interest in a sum of ₹ 25,63,239/- pursuant to the demand raised in this regard on 31.8.2000 for the time consumed for reversing the credit availed. Therefore the whole question centers around whether the conduct at the first instance in availing the CENVAT credit by the respondent is a bonafide one or not? 5. CENVAT credit Rules 2004 have defined the various expressions found therein in Rule 2 thereto. The expression Capital Goods has been defined as under: capital goods means:- (A) the following ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r attractive. The show cause notice dated 4.4.2012 had enclosed thereto, an annexure listing out the equipments, for which the CENVAT credit has been initially taken by the respondent together with their usages. When we peruse the tabulated statement, in particular with regard to their usage, we have noticed that steel plates have been used by the respondent for supporting the other essential equipments such as HP/LP Heaters, Grider of cranes, cable trenching covering and also for covering the hot area of the boiler. 7. The claim of the respondent was that it has undertaken construction of the 4th unit of a captive power plant. In that process, it has utilized this material and construed them as accessories . We could also notice that th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Continental Foundation Jt.Venture v. Commissioner of Central Excise, 2007(216) E.L.T.177, wherein, it was set out that mere omission to give correct information is not suppression of facts unless it was deliberate to stop the payment of duty. Suppression means failure to disclose full information with the intent to evade payment of duty. When the facts are known to both the parties, omission by one party to do what he might have done would not render it suppression . 10. Further, once again a similar issue has engaged the attention of Supreme Court in Cosmic Dye Chemical V. CCE, Bombay (1995 (75) E.L.T 721 (S.C.), wherein it was clearly brought out as under: 6. Now so far as fraud and collusion are concerned, it is evident that the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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