9911796707
TMI Blog2008 (6) TMI 461X X X X Extracts X X X X X X X X Extracts X X X X ..... ho vide their Order No. 579/ 97-C, dated 29-9-97 confirmed the demand of duty, but reduced the penalty from Rs. 50,000/- to Rs. 25,000/-. Thereafter, appellant's plea seeking availability of Modvat credit was considered and after taking note of the submission made by the learned advocate appearing on behalf of the assessee that they had duty paying documents and if a chance is given, they would be able to satisfy the proper officer about their eligibility and entitlement to Modvat credit, the matter was remanded to Commissioner with the observations that an opportunity be afforded to the appellant to substantiate their claim and then decide the matter. 3. In the de novo proceedings, the assessee, admittedly, could not produce the duty pa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the matter was remanded back for de novo adjudication, the KVSS was in operation. Had the party opted for availing KVSS, then the maximum amount of duty that the department would have earned would also have been that much which already admitted and paid by the party, i.e. Rs. one lakh twenty-five thousand only. Therefore, in my considered view the ratio laid down by the Hon ble Tribunal in remanding the matter for extending the benefit of modvat credit to the party will lie in upholding the payment which has already been made by the party, i.e. to the tune of Rs. One lakh as if full and final payment. The rest of the amount should be treated as if in admissible to the government rather that short payment should be appointed as modvat credi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is not appropriate. KVSS scheme is not a blanket scheme offered to each and every assessee against whom demand is confirmed, but is limited to only those who opt for it. Admittedly, inasmuch as assessee has not opted for such scheme and no application stand filed by them to the proper designated authority, it was not open to Commissioner to assume upon himself the role of designated authority and pass the order under KVSS. If such type of orders are passed, then in each and every case during the period of existence of KVSS scheme, the demand would automatically come down to 50% of the duty confirmed, which is not the purpose of the scheme. 5. In view of the foregoing discussion, I allow Revenue's appeal and set aside the impugned order pa ..... X X X X Extracts X X X X X X X X Extracts X X X X
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