https://www.taxtmi.com/caselaws?id=90428 Penal action for storing exempt intermediate goods outside the factory was unsustainable because the arrangement had been covered by departmental permission, supported by long-standing acquiescence, and the goods moved under challans; the penalty was set aside. Modvat credit on inputs used in glass shells could not be denied merely because the shells were intermediate exempt goods where they fed into dutiable final products, as Rule 57D(2) protected such credit. However, credit attributable to exempt final clearances remained reversible to that limited extent, so the blanket reversal was set aside and the matter remitted for fresh quantification of any reversible portion. en-us Tue, 04 Nov 1997 00:00:00 +0530 Fri, 07 Oct 2011 13:02:11 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=90428 Penal action for storing exempt intermediate goods outside the factory was unsustainable because the arrangement had been covered by departmental permission, supported by long-standing acquiescence, and the goods moved under challans; the penalty was set aside. Modvat credit on inputs used in glass shells could not be denied merely because the shells were intermediate exempt goods where they fed into dutiable final products, as Rule 57D(2) protected such credit. However, credit attributable to exempt final clearances remained reversible to that limited extent, so the blanket reversal was set aside and the matter remitted for fresh quantification of any reversible portion. Case-Laws Central Excise Tue, 04 Nov 1997 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=90428