9911796707
TMI Blog2014 (10) TMI 20X X X X Extracts X X X X X X X X Extracts X X X X ..... nt, M/s. Paramount Print Packaging under the provisions of Rule 8 (4) of the Central Excise rules, 2002 read with Section 11 of Central Excise Act, 1944. Aggrieved of the same, the appellant is before us. 3. The learned Counsel for the appellant submits that the appellant had defaulted in payment of excise duty for the month of April 2012. This default continued upto February, 2013 and during the impugned period the appellant paid a sum of Rs. 1,14,67,968/-. They also availed Cenvat Credit of Rs. 74,45,393/- for payment of duty on clearance of the goods during the said period. However, the adjudicating authority while confirming the demand has not considered the amount of Rs. 1.14 crore (approximately) paid by the appellant and considered ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ies on the decision of the Hon'ble High Court of Madras in the case of Unirols Airtex Vs. CCE, Coimbatore - 2013 (296) ELOT 449 (Mad) wherein it was held that Cenvat Credit cannot be used as a matter of right for payment of duty of excise in case period under Rule 8 (3A) of Central Excise Rules, 2002 and the entire outstanding amount including interest is paid. Similarly, the Hon'ble High Court of Karnataka in the case of Manjunatha Industries Vs. CCE, Bangalore Writ Petition No. 4764 of 2013 (T-TAR) held that incase of default, prohibition under Rule 8(3A) of Central Excise Rules, 2002 from utilizing Cenvat Credit account is not with reference to arrears but the entire credit lying in the account and since credit was unavailable, u ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ity is not correct in law, prima facie is not sustainable. Therefore, the appellant is liable to pay the balance amount of Rs. 1,26,31,129/- Though the appellant pleads financial difficulties, except for the averments in this regard, no evidence is made available before us. Therefore, we direct the appellant to make a pre-deposit of Rs. 1,26,31,129/- (subject to verification of amount of Rs. 1,14,67,968/- already paid by the appellant by the Revenue) within a period eight weeks and report compliance by 07/07/2014. On such compliance, the balance of dues adjudged against the appellant, namely, interest and penalty shall stand waived and recovery thereof stayed during the pendency of the appeal.
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