9911796707
TMI Blog2018 (8) TMI 311X X X X Extracts X X X X X X X X Extracts X X X X ..... inputs namely wire bars cleared as such, for sale were only from the imported quantities of wire bars on which credits of SAD has been taken by the appellants. There is no merit in demanding reversal of entire amount of SAD on the entire quantity of wire bars sold by the assessee as such since 2010 to 2011 and without any scientific or factual basis when facts remain that the as such quantities were both from imported as well as locally purchased consignments - The methodology of reversal of cenvat credit adopted by appellant is based on scientific and factual basis and therefore, the amount of SAD is reversed by them along with interest, need to be accepted. Penalty - Held that:- The proper compliance of Rule 3 of Cenvat Credit Rule ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... bars and therefore. Credit of Additional duty (SAD) amounting to ₹ 4,21,97,191/- should have been reversed by the appellants along with interest. The relevant period for demand of cenvat credit of above amount pertained to the period April, 2010 to March, 2014. Since the appellant reversed a part of above mentioned SAD credits, the department issued a show cause notice demanding reversal of cenvat credit amounting to ₹ 4,21,97,191/- along with interest under section 11A(1) read with Rule 14 of Cenvat Credit Rules, 2004. The Penal provisions under section 11AC read with Rule 15 of Cenvat Credit Rules, 2004 were also invoked. The matter has came up before the learned Commissioner for adjudication who vide impugned order dated 17. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... no record has been kept as to how much quantity from the imported consignment is being sold and cleared as such and how much quantity of locally procured wire bars have been cleared for sale. 3. We have heard both sides and perused the record of the appeal. 4. We find the department has taken the extreme view that all sales effected for the wire bars during the period of demand were only of the imported quantity of wire bars and therefore, the cenvat credit of SAD pertaining to such quantities have been demanded. The department does not have any concrete evidence to establish that the inputs namely wire bars cleared as such, for sale were only from the imported quantities of wire bars on which credits of SAD has been taken by the appe ..... X X X X Extracts X X X X X X X X Extracts X X X X
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