2004 (7) TMI 419

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... er (Oral)]. The appellants had cleared certain quantity of excisable goods to one of their customers, viz. M/s. Naga Oil Mills Co. Ltd. (NML, for short) on payment of duty from Modvat account at the rate of 30%. The payment was by mistake as the correct rate of duty on the goods at the material time was only 20%. On the basis of the invoice issued by the appellants, NML took Modvat credit of .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... lants. The original authority imposed a penalty of Rs. 5,000/- on the party, but the first appellate authority has reduced it to Rs. 500/-. The present appeal is against the demand of duty and the penalty. 2. Heard both sides. It appears from the records and submissions that M/s. NML legitimately took Modvat credit of the entire amount of duty paid on the goods by the appellants as per the invoi .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ed refund of the excess duty and obtained such refund in accordance with law, the Central Excise Range Superintendent, having jurisdiction over them, would have issued a certificate under Rule 57E, on the strength of which the Central Excise Range Superintendent, having jurisdiction over the buyer (NML) could have recovered equivalent amount of duty from NML. May be, NML thought it fit to wait for .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X