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TMI Blog2013 (12) TMI 518X X X X Extracts X X X X X X X X Extracts X X X X ..... on of penalty of Rs.23 crores (approx.). In addition, penalties stand imposed on the other appellants who are suppliers of raw materials. 2. After hearing both sides, we find that M/s Balkrishna Industries Ltd. is engaged in the manufacture of tyre and were availing benefit of cenvat credit of duty paid on inputs. They procure advance licenses for import of various raw materials without payment of duty. Said advance licenses, so procured by them were subsequently invalidated and against such invalidated advance licenses, they were entitled to procure duty free raw materials from indigenous manufacturer subject to following certain procedure. Though such invalidated advance licenses were handed over to the supplier of the various inputs but ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... efore the Revenue's contention regarding shifting of credit does not hold water. We have asked the ld. A.R. to show any specific provisions under Central Excise law regarding the appellants to clear the goods in the said situation under Notification No.44/2001-CE(NT) dated 26.6.2001 only. We have also seen the Notification and the connected rules. These rules do not require the appellants to necessarily clear the goods duty free by following the procedure under Notification No.44/2001-CE(NT) dated 26.6.2001.We also note that overall there is no loss to the Revenue as the credit is being taken of the duty paid, if the appellants could have followed the Notification No.44/2001-CE(NT) dated 26.6.2001, no duty would have been paid by the suppli ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as that there is nothing in Notification No.44/2001 which requires the manufacturer to clear the goods without payment of duty only. It was also observed that there is revenue neutrality and no loss to the revenue. It is evident that the policy Circular No.16 (RE-2012/2009-14) dated 15th March, 2013 which has been issued recently by the DGFT was not brought to the notice of the Hon'ble Tribunal. In fact, before the Hon'ble Tribunal , the case was not presented I its entire gamut but as a simple case of payment of duty where it was not required to be paid and availment of credit of this duty by the recipient of goods. Similarly, the learned Commissioner of Central Excise, Belapur who dropped the demand in the case of M/s I.G. Petrochemicals ..... X X X X Extracts X X X X X X X X Extracts X X X X
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