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TMI Blog2003 (9) TMI 164X X X X Extracts X X X X X X X X Extracts X X X X ..... td., the issue involved is whether interest can be demanded from them. 2. Shri B.L. Narsimhan, learned Advocate, submitted that the appellants manufacture Pig Iron and scrap of iron; that as per the requirement of the Central Excise Rules, they are required to pay duty on the goods cleared in the first fortnight by 20th of the month and for the goods cleared during the second fortnight of the mo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... bmitted that Cenvat Credit account is also considered as account current for the purpose of payment of duty; that there is no restriction for utilising the Cenvat Credit for payment of duty under the Cenvat Credit Rules at all and hence the payment of duty through Cenvat Credit was in order. He also contended that the Commissioner has clearly held, in the impugned order, that the removals were not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... llants paid around Rs. 7 crore in cash through PLA towards duty, the small amount of Rs. 31 lakh (approx.), utilised from Cenvat, should not warrant imposition of interest; that moreover, this is a case of bona fide mistake. 3. Countering the arguments, Shri Virag Gupta, learned DR, submitted that sub-rule (e) of Rule 173G(1) of the Central Excise Rules, clearly provides that if the manufacturer ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (d) of Rule 173G(1) of the Central Excise rules. He emphasised that the Commissioner has given a specific finding in the impugned order to the effect that "so long as the actual revenue is not credited in Government account by cash payment through TR-6 Challans, the undue financial accommodation to the defaulter continues and under that circumstances interest has to be charged for delayed payment ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of duty. We agree with the findings of the Commissioner that the default of not making the payment on the due date, remains continued during the said period and the interest is payable by the appellant under the provisions of sub-rule (d) of Rule 173G(1) of the Central Excise Rules. The said sub-rule speaks of payment of duty by the due date. In the present matter, the due date is the date of cle ..... X X X X Extracts X X X X X X X X Extracts X X X X
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