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TMI Blog2024 (8) TMI 710X X X X Extracts X X X X X X X X Extracts X X X X ..... o more res integra. The Hon ble Madras High Court in the case of M/S. THIRU AROORAN SUGARS, M/S. DALMIA CEMENTS (BHARAT) LTD. VERSUS CUSTOMS, EXCISE AND SERVICE TAX APPELLATE TRIBUNAL, THE COMMISSIONER OF CENTRAL EXCISE [ 2017 (7) TMI 524 - MADRAS HIGH COURT] has held ' Therefore, in our opinion, whether the user test is applied, or the test that they are the integral part of the capital goods is applied, the assessees, in these cases, should get the benefit of Cenvat credit, as they fall within the scope and ambit of both Rule 2(a)(A) and 2(k) of the 2004 Rules.' The Appeal is allowed both on merits as well as on account of limitation - appeal allowed. - HON BLE MR. R. MURALIDHAR , MEMBER ( JUDICIAL ) And HON BLE MR. RAJEEV TANDO ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... during the period 2006-07 to 2008-09. He submits that they have been taking Cenvat Credit on a monthly basis and also reflecting the same in the ER-I Returns filed by them. He submits that they are under the bonafide belief that inputs are used in or in relation to their manufacturing activities and hence they have correctly taken the Cenvat Credit. In such a case, the Revenue is in error in alleging suppression and invoking the extended period provisions against the Appellant. He also relies on the case law of CCE, Raipur Vs. Rajaram Maize Products-2010 (258) ELT 539 (Tri.-Delhi). Therefore, he submits that the entire confirmed demand is required to be set aside on account of time limit also. 5. The Learned AR reiterates the orders of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... egoing reasons, we answer the questions, in all the three (3) appeals, which are set forth above, in favour of the assessees and against the Revenue. [Emphasis supplied] 9. In the case of Vandana Global Ltd. Vs. Commissioner of C. Ex. Cus., Raipur-2018 (16) G.S.T.L. 462 (Chhattisgarh) has held as under:- 6. That view has been quoted with approval by the Madras High Court in M/s. Thiruarooran Sugars v. Customs, Excise and Service Tax Appellate Tribunal (CMA 3814/2014 and connections) decided on 10-7-2017 [2017 (355) E.L.T. 373 (Mad.)] to conclude that the said amendment cannot be treated as clarificatory. M/s. Thiruarooran Sugars also considered the issue as to the effect and fundamental value of the evidentiary statement made by the Finance ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ion of any of the provisions of this Act or of the rules made thereunder with intent to evade payment of duty, the person who is liable to pay duty as determined under sub-section (2) of section 11A, shall also be liable to pay a penalty equal to the duty so determined. 9. In fact, it is worthy to notice that the expression suppression has fallen for consideration of the Supreme Court in Continental Foundation Jt. Venture v. Commissioner of Central Excise, 2007 (216) E.L.T. 177, wherein, it was set out that mere omission to give correct information is not suppression of facts unless it was deliberate to stop the payment of duty. Suppression means failure to disclose full information with the intent to evade payment of duty. When the facts a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... plates and MS angles fall under Chapter 72 of the CE Tariff Act, but not under Chapter 82, 84, 85 or 90, the respondent has reversed the credit availed. The respondent has reversed it, no doubt, on its own, because of unavailability of adequate quantity of Bauxite. Be that as it may. It has also paid the interest for the delayed part of reversing the credit. 12. From the above facts and circumstances, it is evident that there is no wilful intent to evade duty and hence the question of invoking the penalty under Section 11AC would not arise. The view taken by the Tribunal appears to be a reasonable one. [ Emphasis supplied ] 12. The ratio of these case laws are squarely applicable in this case. Hence, we allow the Appeal both on merits as we ..... X X X X Extracts X X X X X X X X Extracts X X X X
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