2005 (10) TMI 117

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..... duty and also the penalty on the appellants in respect of the non-availability of the inputs on which credit was taken by them. 2. The learned Advocate submits that the appellants had avalied the Cenvat credit on the polyester yarn and polyester fibres and recorded in the statutory books of records i.e. RG-23A, Part-I Part-II. Since they were manufacturing a particular dyed yarn, there was ch .....

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..... that the inputs on which the credit has been availed, has to be in the factory, where they were received and credit availed or should have been used in or in relation to the manufacture of the goods in the same factory. He further submits that if the appellants wanted to keep these stocks in their sister unit, they could have applied for the permission and got the same from the Range Authorities t .....

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..... to be used in the factory of manufacturer of the final product where they have been received. It was not done so in this case. Even if they wanted to keep the duty paid inputs in their own sister concern, there were provisions in the Central Excise Rules to do so. The appellants have not done so. In the absence of any such permission or correspondence, in my view, the appellants are ineligible for .....

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