https://www.taxtmi.com/caselaws?id=109945 Penalty was not sustainable where Modvat credit, though irregularly availed, was fully reversed before issuance of the show cause notice. The inputs had not been received in the factory as required under Rule 57A of the Central Excise Rules, 1944, so the credit was inadmissible; however, voluntary reversal before notice negatived penal consequence. Applying the cited precedent, the Tribunal held that the assessee's pre-notice reversal did not justify penalty under the invoked penal provisions, and the penalty was set aside. en-us Wed, 26 Mar 2003 00:00:00 +0530 Fri, 13 Apr 2012 11:15:22 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=109945 Penalty was not sustainable where Modvat credit, though irregularly availed, was fully reversed before issuance of the show cause notice. The inputs had not been received in the factory as required under Rule 57A of the Central Excise Rules, 1944, so the credit was inadmissible; however, voluntary reversal before notice negatived penal consequence. Applying the cited precedent, the Tribunal held that the assessee's pre-notice reversal did not justify penalty under the invoked penal provisions, and the penalty was set aside. Case-Laws Central Excise Wed, 26 Mar 2003 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=109945