2001 (4) TMI 485

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..... l against the order-in-appeal passed by the Commissioner (Appeals), whereby a penalty of Rs. one lakh was imposed under Rule 173Q of the Central Excise Rules. 2. Brief facts of the case are that the appellants are engaged in the manufacture of sugar, molasses and Ethyl Alcohol. They availed the facility of Modvat credit of Rs. 1,28,000.00 on the strength of invoices, which were issued six months .....

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..... al Excise reported in 1996 (88) E.L.T. 31 where the Hon ble Madras High Court held that penalty cannot be imposed for mere procedural lapse in absence of intention to evade duty. 5. In the present case, the appellants availed the benefit of credit on the strength of documents, which were issued six months prior to taking of the credit. Rule 57Q of the Central Excise Rules provides that credit ca .....

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