TMI Blog2019 (1) TMI 1035X X X X Extracts X X X X X X X X Extracts X X X X ..... not sustainable - appeal allowed - decided in favor of appellant. - ST/381/2009-DB - Final Order No. 21899/2018 - Dated:- 14-12-2018 - MR. S.S GARG, JUDICIAL MEMBER And MR. P. ANJANI KUMAR, TECHNICAL MEMBER Shri Syed Peeran, Advocate For the Appellant Shri K.B. Nanaiah, Asst. Commissioner (AR) For the Respondent ORDER Per: S.S GARG The present appeal is directed against the impugned order dt. 20/01/2009 passed by the Commissioner whereby the Commissioner has confirmed the demand of ₹ 75,23,772/- on the appellant under Rule 14 of CENVAT Credit Rules, 2004 (CCR, 2004) read with Section 75 of the Finance Act, 1994 being the interest on the inadmissible CENVAT credit taken on capital goods during the year ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1). Aggrieved by the said order, the appellant filed the present appeal. 3. Heard both sides and perused records. 4.1. Learned counsel for the appellant submitted that the impugned order is not sustainable in law as the same has been passed without properly appreciating the facts and the binding judicial precedents of the Tribunal and the high Courts. He further submitted that the appellant has merely availed the credit and kept it unutilized and therefore there is no liability on the appellant on merely availing the credit in terms of Rule 14 of CCR. He further submitted that this issue is no more res integra and has been settled in plethora of cases. He further submitted that it is an admitted fact the appellant has only availed the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... edit - Wrong availment of - It does not attract interest liability, which arises from date credit is taken or utilized wrongly - It is only when credit has been taken and duty legally due to Government is not paid, Government would sustain loss to that extent - Liability to pay interest arises under Section 11AB of Central Excise Act, 1944 from date amount became due, to compensate Government - Without liability to pay duty, liability to pay interest does not arise - Rule 14 of Cenvat Credit Rules, 2004. Similarly in the case of Shiv Om Paper Mills Ltd. cited supra, the Tribunal has held that when full credit was availed instead of 50% of the credit, no interest was required to be paid where the credit taken inadvertently was not utili ..... X X X X Extracts X X X X X X X X Extracts X X X X
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