TMI Blog2017 (7) TMI 709X X X X Extracts X X X X X X X X Extracts X X X X ..... on. Accordingly, the demand is barred by limitation and the denial of credit in respect of Furnace Oil along with setting aside of interest and penalty set aside. Penalty - Damaged inputs - Waste and Scrap and Jumbo Baggase - demand - Held that: - as the entire credit was availed by reflecting the same in statutory records in terms of the Central Excise provisions. As such, it stands contended that there was no suppression with any malafide on their part so as to invite any penal action. Appeal allowed - decided in favor of appellant. - E/42236 & 42237/2016-SM - 40711-40712/2017 - Dated:- 17-5-2017 - Smt. Archana Wadhwa, Member (Judicial) For the Appellant: Shri S. Muthuvenkataraman, Adv. For the Respondent: Shri K.P. Mur ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... different orders, in respect of the same issue, stand passed by Commissioner (Appeals) and both of them stands challenged by the appellant by ways two different appeals. In as much as, the issues involved in both the appeals are same, I proceed to decide both the appeals by a common order. 4. The main issue relates to reversal of Cenvat credit in respect of that quantum of Furnace Oil, which has gone to the generation of electricity and which electricity stands transferred by the appellant to TNEB. Learned advocate appearing for the appellant fairly agrees that the Larger Bench decision of the Tribunal in the case of Gujarat Narmada Fertilizers Co. Ltd. Commissioner of Central Excise, Vadodara reported in 2008 (11) E.L.T. 431 (LB.) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... case of Gujarat Narmada Fertilizers Co. Ltd. (supra), wherein, Hon'ble Supreme Court has observed as under :- It may be noted that litigation on interpretation of CENVAT Credit Rules has arisen on account of various conflicting decisions given by the various Benches of CESTAT, the reason being that the Rules have not been properly drafted. In the circumstances, we are of the view that in this batch of cases no penalty is leviable, however, in order to decide the amount of duty payable by each of the assessees, the matters are remitted to the Adjudicating Authority to decide the amount of duty payable without penalty on reversal of credit to the extent of the input being used in the manufacture of exempted final products/to the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on of the longer period of limitation is suppression, misstatement etc., with an intent to evade payment of duty. Admittedly, during the relevant period and even thereafter, there were decisions of various higher courts. The Larger Bench of the Tribunal itself has held that the credit would be available. In such a scenario, which view stands upheld by the Hon'ble High Court of Gujarat, no malafide intention can be attributed to the assessee, so as to invoke the longer period of limitation. Accordingly, I hold the demand to be barred by limitation and set aside the denial of credit in respect of Furnace Oil along with setting aside of interest and penalty. 8. A part of the demand stands confirmed in respect of Waste and Scrap and ..... X X X X Extracts X X X X X X X X Extracts X X X X
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