2010 (5) TMI 727

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..... aw material found in the factory of the appellant during the visit of the officers. At the time of drawing Panchanama, the partner of the appellant stated that the shortage was because of the transit loss and voluntarily reversed the Cenvat Credit on the raw material. Subsequently, the Cenvat Credit reversal was confirmed and equal amount of penalty was imposed. 2. On behalf of the appellant, it .....

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..... el Ltd. as reported in 2000 (125) E.L.T. 578 (Tri.), in support of the contention that the difference in the weight of input at the place of procurement and place of usage in the factory of assessee cannot be a ground for disallowance of Modvat Credit. Learned SDR, on the other hand, relied upon the decision to show that when there is a difference in the stock found, duty can be demanded. 3. I h .....

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..... not be sustained. Therefore, the appeal filed by the appellant has to be allowed. 4. Revenue also has filed the appeal against the order of the Commissioner (Appeals) for setting aside the imposition of penalty under Rule 15(2) of Central Excise Rules. In view of the decision that the duty demand cannot be sustained, the question of holding the penalty does not arise. Accordingly, the appeal fil .....

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