TMI Blog2023 (3) TMI 434X X X X Extracts X X X X X X X X Extracts X X X X ..... 4 (5) (a) of Cenvat Credit Rules, 2002. So also, it is not disputed that the job worker cleared intermediate goods in the nature of angles and channels to the appellant by paying duty and raising invoices. The show cause notice dated 14.06.2012 is issued invoking the extended period. It is not disputed that the appellant has accounted the removal of scrap to the job worker as well as the clearance of the intermediate goods (angles and channels) by payment of duty. The Department has vaguely alleged that the appellant has suppressed facts with intention to evade payment of duty. There is no evidence to show that the appellant has done any positive act to deliberately suppress the facts so as to evade payment of duty. The appellant theref ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... February 2010, to demand interest thereon and for imposing penalty under Section 11AC of the Central Excise Act, 1944. 2. After due process of law, the adjudicating authority confirmed the demand along with interest and imposed equal penalty. On appeal, the Commissioner (Appeals) upheld the same. Hence this appeal. 3. Ld.Consultant Shri P.C. Anand appeared and argued for the appellant. He submitted that at the time of audit, the audit team was satisfied that the quantity despatched to the job worker had been brought back to the factory as converted into angles and channels. In fact, all the delivery challans were available and the demand has been quantified on the basis of such challans. Therefore, the show cause notice issued allegin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... te your attention to the minutes of Point No.17 of the monthly Modvat meeting held on 6-2-1989 regarding liability of duty on turnings and borings of aluminium arising during the course of manufacture of pistons. Vide Board s telex of even No. dated 3-10-1988, it was clarified that scrap of Aluminium arising during the process of manufacture of Pistons out of Aluminium ingots cannot be permitted to be removed under rule 57F (2). This has resulted in unnecessary paper work and difficulties to the assessees. 2. The matter has been re-examined by the Board. It has been decided to permit movement of aluminium scrap generated during the process of manufactures of pistons out of aluminium ingots under Rule 57F (2) for converting the same int ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ase for demanding duty from the appellants for despatch of aluminum scrap, during the period involved. The appeal succeeds and the same is allowed, and the impugned order is set aside. 8. After appreciating the facts and position of law made in the above decision, we are of the view that the demand cannot sustain and requires to be set aside which we hereby do. The show cause notice dated 14.06.2012 is issued invoking the extended period. It is not disputed that the appellant has accounted the removal of scrap to the job worker as well as the clearance of the intermediate goods (angles and channels) by payment of duty. The Department has vaguely alleged that the appellant has suppressed facts with intention to evade payment of duty. The ..... X X X X Extracts X X X X X X X X Extracts X X X X
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