9911796707
TMI Blog2006 (6) TMI 317X X X X Extracts X X X X X X X X Extracts X X X X ..... e Respondent. [Order per : Justice R.K. Abichandani, President]. The applicant challenges the order of the Commissioner (Appeals) upholding the order-in-original by which a demand of Rs. 3,09,783/- was confirmed under Rule 12 of Cenvat Credit Rules, 2002 read with Section 11A of the Central Excise Act, 1944 with the direction to adjust Rs. 13,347/-, which was the amount lying in t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... that the appellant had opted for value based exemption under Notification No. 8/2003, dated 1-3-2003 but did not reverse the Cenvat credit in terms of provisions of Rule 9(2) of the Cenvat Credit Rules. 4. The learned Counsel for the applicant argued that despite the provisions of Rule 9(2), requiring reversal of credit, when the manufacturer opts for exemption, the provisions of Rule 3(2) would ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nufacturer, who opts for exemption to pay an amount equivalent to CENVAT amount as laid down therein and, prima facie, it is not controlled by the provisions of Rule 3(2). 6. Learned Counsel also submitted that Revenue should not rely on the balance sheet. We do not find any justification for such a contention. The balance sheet would be an important document, which would have a bearing on the a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... al duty. In the present case, the issue involved is regarding the obligation of the applicant to re-pay the amount of CENVAT credit as per the provisions of Rule 9(2), which even contemplates that after reversal if any excess remains that would get lapsed. Illustration No. (2) cannot limit the operation of Rule 9(2) of the said rules, nor does it intend to do so. 9. We, therefore, direct that th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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