2018 (4) TMI 1491

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... of Bombay in the case of Ajinkya Enterprises [2012 (7) TMI 141 - BOMBAY HIGH COURT], which is, if any amount is paid as Central Excise duty considering the goods as manufactured and if CENVAT credit is sought to be reversed on the same, the duty disallowed is as good as reversal of the same is equal or more to such credit availed and no demand arises. Liability of interest on amount reversed - .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... by the Commissioner of Central Excise (Appeals), Mumbai I. 2. Heard both the sides and perused the records. 3. The facts that arise for consideration, after filtering out unnecessary details are, that the appellant are manufacturer of goods and were availing CENVAT credit on inputs i.e. imported GI wires of CVD and SAD paid; were clearing the said GI wires, after process of testing and re- .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... me when the matter was before the first appellate authority. It is his submission that if GI wires are removed on payment of duty as a manufactured product it would amount to reversal of CENVAT credit which is the law as has been settled by the Hon ble High Court in the case of Commissioner of Central Excise, Pune III v. Ajinkya Enterprises [2013 (294) ELT 203 (Bom.)]. It is his submission since .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... of Bombay in the case of Ajinkya Enterprises (Supra), which is, if any amount is paid as Central Excise duty considering the goods as manufactured and if CENVAT credit is sought to be reversed on the same, the duty disallowed is as good as reversal of the same is equal or more to such credit availed and no demand arises. It is also a question of fact, has been admitted that appellant has paid the .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ions of Rule 15 of the CENVAT Credit Rules, 2004, I do find that there is contravention of the provisions of CENVAT Credit Rules as well as Central Excise Rules. Considering the issue holistically, I find that the penalty of ₹ 50,000/- imposed would be sufficient to meet the ends of justice. 9. The appeal is disposed off in the above terms. (Dictated in Court) - - TaxTMI - TMITax .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X