9911796707
TMI Blog2004 (3) TMI 149X X X X Extracts X X X X X X X X Extracts X X X X ..... t case inasmuch as in the present case, credit was reversed much after the clearance of the exempted goods and utilisation of the credit for the payment of duty on dutiable products. The Commissioner (Appeals) is also right in holding that the duty demand of over Rs. 2 crores in regard to a dispute about availability of over Rs. 6 lakhs credit is grossly unjust. In fact, impropriety and illegality are not with the Order of the Commissioner (Appeals); but with the present appeal. It is grossly improper for an administrative Commissioner to irresponsibly continue with a dispute to higher and higher appellate fora. Such a feud mentality brings no additional revenue to the exchequer. It only generates bad blood by heaping unmerited misery on th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ollector of Central Excise, Nagpur reported in 1996 (81) E.L.T. 3 (S.C.) wherein it was held - Reversal of Modvat credit permissible to avail exemption. The Hon'ble Supreme Court further held that on reversal of the Modvat credit, the assessee cannot be said to have taken credit of duty on the inputs utilised in the manufacture of final products. The Assistant Commissioner's observation that the decision of the Hon'ble Supreme Court in the case of M/s. Chandrapur Magnet Wires (P) Ltd. v. CCE, Nagpur is not acceptable because the ground of the case law refers to the period prior to the introduction of Rule 57CC, has no force, because the issue decided by the Hon'ble Supreme Court is basic i.e., the reversal of Modvat credit amounts to non-av ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... se of Chandrapur Magnet Wires (P) Ltd. v. CCE., Nagpur was not applicable to the present case inasmuch as in the present case, credit was reversed much after the clearance of the exempted goods and utilisation of the credit for the payment of duty on dutiable products. 3. We have perused the records and have considered the submissions made by both sides. In addition to the legal position as noted by the Commissioner, the appellant has also submitted that duty demand in the present case is contrary to the Circular No. 591/28/2001-CX., dated 16-10-2001 of the Central Board of Excise and Customs wherein it has been clarified that in the cases like the appellant what is required is to recover the credit taken incorrectly. 4. We are entirely wit ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
