9911796707
TMI Blog2009 (11) TMI 725X X X X Extracts X X X X X X X X Extracts X X X X ..... t gate passes, 26 input gate passes were found to be fictitious. The appellants Range Superintendent, therefore issued a demand notice to the appellants to reverse the Modvat Credit availed on the said 26 input gate passes and the same was complied by the appellants and debited Rs. 2,37,908/- in PLA on 3-8-94 subsequently a show cause notice dated 16-2-1996 was issued by the Departments to impose penalty and after due adjudication process, Order-in-Original No. 42/99, dated 15-10-99 was issued by the Joint Commissioner imposing a penalty of Rs. 50,000/- on the appellants. Aggrieved by the above order, the appellants filed an appeal before the Commissioner (Appeals), Guntur, who vide Order-in-Appeal No. 40/2000(G) C.E., dated 3-4-2000 dismis ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Adjudicating Authority. 5. I have heard both sides and perused the records. The issue involved in this case is regarding the imposition of penalty of Rs. 12,000/- (Rupees Twelve thousand only) on the appellant under the provisions of Rule 173Q of the Central Excise Rules, 1944. The facts are not much disputed. The appellant availed Modvat credit on inputs received by them from M/s. Wheels India Ltd. on 76 GPs. The said GPs were sent to originating Range officer for verification, who reported that out of 76 GPs, 26 GPs were found to be fictitious and the credit availed on such GPs needs to be reversed. Relying on such verification, demand note was issued by Superintendent of Central Excise, directing the appellant to reverse the said cr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... clude a certificate issued by the manufacturer or the supplier as regards the identity and the address of the manufacturer. I find that the appellant has contravened the provisions of Rule 173Q(1)(bb). Though appellant has contravened the said provision, he has reversed the Cenvat credit, on being directed by the Superintendent of Central Excise. 8. In the facts and circumstances of the case, I find that imposing a penalty should have been sympathetically considered. 9. Accordingly, in the facts and circumstances of the case, I uphold the impugned order which confirms the imposition of penalty under Rule 173Q of the Central Excise Rules, 1944 but modify the penalty imposed on the appellant. The same shall be reduced to Rs. 5000/- (Rup ..... X X X X Extracts X X X X X X X X Extracts X X X X
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