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TMI Blog2018 (10) TMI 1779X X X X Extracts X X X X X X X X Extracts X X X X ..... trading activities. Taking of CENVAT Credit on such circumstances were objected by the Audit Wing of the department and thereafter, the appellant had reversed the CENVAT Credit. After reversal of CENVAT Credit, the department initiated show cause proceedings against the appellant, seeking for confirmation of Cenvat demand along with interest and for imposition of penalty on the appellant. On appeal, the learned Commissioner (Appeals) has also upheld the adjudged demand confirmed against the appellant by the original authority. Hence the appellant has preferred this appeal before this Tribunal. 2. Learned Advocate appearing for the appellant submits that interest and penalty demand cannot be demanded on the appellant on the ground that the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rt, this Tribunal in the case of Nova Petrochemicals Ltd. (supra) have also set aside the interest and penalty demand confirmed by the department. Relevant paragraphs in the said order are extracted below:- "8. In view of the findings of the adjudicating authority, the allegation in the show cause notice is that the appellant utilized the credit cannot be sustained. The adjudicating authority confirmed the demand of interest only on the ground that they have taken the credit and they are liable to pay interest. The Learned Authorised Representative heavily relied upon the decision of the Hon'ble Supreme Court in the case of Ind-Swift Laboratories (supra). The said decision was against the decision of the Hon'ble Punjab and Haryana High C ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d period of limitation cannot be sustained. In any event, the appellant is not disputing the demand which has already been paid by them. The learned counsel categorically stated that they are not contesting the demand of duty, even it is for extended period of limitation, as they have already paid. In my considered view, the payment of interest under Section 11AB to the Central Excise Act as they have not utilised such credit and the imposition of penalty under Section 11AC of the said Act, cannot be sustained." 6. In view of above position of law, I do not find any merits in the impugned order, so far as it has upheld confirmation of adjudged demand of interest and penalty on the appellant. Accordingly, the impugned order to such extent ..... X X X X Extracts X X X X X X X X Extracts X X X X
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