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TMI Blog2010 (5) TMI 413X X X X Extracts X X X X X X X X Extracts X X X X ..... d accordingly from which date, they became eligible for Cenvat credit and on which date the Cenvat credit in respect of inputs had been taken. Just giving consolidated figure of total Cenvat credit-availed during July’01-Sept’01 period does not amount to disclosing all the relevant facts and from the facts disclosed in the quarterly ER-1 return, it was not possible for Departmental Officers to ascertain as to whether the Cenvat credit taken by them during quarter ending 2001 had been taken only after crossing the limit of Rs. one crore - full facts had not been disclosed and hence longer limitation period has been rightly invoked by the Department - appeal is dismissed. - E/1770/2005 - 256/2010-EX(PB) - Dated:- 3-5-2010 - Justice R.M.S. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the Cenvat credit. However, subsequently in course of audit of the Central Excise records of the Appellant company, it was found that while they had crossed one crore limit on 20-9-01, they had started taking input duty credit from 1-9-01 itself and during the .period from 1-9-01 to 20-9-01, when they were still availing full duty exemption, they had taken Cenvat credit of Rs. 2,13,772/- of the duty paid on the inputs used in the manufacture of finished goods. Since during the full exemption period, the Appellants could not avail input duty credit, a show cause notices dt. 12-2-04 was issued for (a) recovery of allegedly wrongly Cenvat credit amounting to Rs. 2,13,772/- alongwith interest on it at the applicable rate under Rule 12 of Cenv ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rate but with the benefit of Cenvat credit and on crossing the limit of Rs. one crore, full duty was payable; that switching over from Notification No. 8/2001-C.E. to Notification No. 9/2001-C.E. was permissible, that the credit or Rs. 2,13,772/- during the period from 1-9-01 to 20-9-01 when the clearances were within Rs. one crore had been lawfully taken; that the instance case is squarely covered by the ratio of the Tribunal's judgment in the case of Ta] Forgings Pvt. Ltd. v. CCE, Dethi reported in 2004 (177) E.L.T. 385 (T.-Delhi) wherein in identical circumstances, the Hon'ble Tribunal allowed the credit taken by the assessee on the ground that it has been taken lawfully; that the availment of credit had been declared in the quarterly re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n 20-9-01, they started availing the Cenvat credit from 1-9-09 itself and during the period from 1-9-01 to 20-9-01, they had availed Cenvat credit of Rs. 2,13,772/-. According to the Appellant, switching over from Notification Nos. 8/01 to 9/01 is permissible at any point of time and accordingly, they have correctly availed the Cenvat credit during 1-9-01 to 20-9-01 period. We do not accept this plea of the Appellant as under Notification No. 9/01, the assessee in respect of first clearances of Rs. one crore starting from 1st April is liable to pay duty at concessional rate i.e. 60% of the normal rate, while in this case, once the Appellant had opted for Notification No. 8/01-C.E. under which they could avail full duty exemption in respect ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uty amounting to Rs. 1,49,592/- through Cenvat on 15-10-01 has been declared. However, on going through the ER-1 return, we find that nowhere the Appellants have declared as to on which date the exemption limit of Rs. one crore was crossed by them and accordingly from which date, they became eligible for Cenvat credit and on which date the Cenvat credit in respect of inputs had been taken. Just giving consolidated figure of total Cenvat credit-availed during July'01-Sept'01 period does not amount to disclosing all the relevant facts and from the facts disclosed in the quarterly ER-1 return, it was not possible for Departmental Officers to ascertain as to whether the Cenvat credit taken by them during quarter ending 2001 had been taken only ..... X X X X Extracts X X X X X X X X Extracts X X X X
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