1998 (11) TMI 338

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..... apter 25 of CETA. They were having a wet process unit and a dry process unit for manufacturing cement in the same premises until July, 1988 when they took out separate Central Excise for their dry process unit and accordingly were maintaining separate accounts statutorily prescribed. There was a declaration filed under Rule 57G for Modvat purposes by the undivided unit on 4-3-1987 in respect of th .....

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..... ds payment of duty on the final duty cleared from the dry process unit in respect of the input received in the old processing unit is not correct. The Assistant Collector adjudicated the matter and ordered that the credit amount of Rs. 2,48,048/- wrongly availed by the dry process unit be reversed/recovered under Rule 57-I of the Central Excise Rules. Penalty of Rs. 2000/- was imposed on the Respo .....

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..... their RG 23A Part II account pertaining to their wet process unit. The Collector (Appeals) also set aside the penalty on the Respondents. 4. Shri K.L. Ramteke, the learned DR reiterated the grounds of appeal and contended that utilisation of the credit in the dry process unit without any declaration would render the taking of credit ab initio illegal. On a careful consideration of this submissi .....

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