https://www.taxtmi.com/caselaws?id=110662 Penalty under Section 11AC of the Central Excise Act was held inapplicable where the dispute concerned wrong availment of Modvat credit on inputs found short and the credit had already been reversed and appropriated towards the duty demand. The demand arising from disallowance and reversal of the credit was upheld, but the statutory ingredients for imposing penalty under Section 11AC, namely non-payment or short payment of duty in the required circumstances, were not established on the facts. The text notes that penal action under the Modvat rules could have been considered, but no such penalty was imposed. en-us Fri, 16 Jan 2004 00:00:00 +0530 Wed, 18 Apr 2012 10:55:58 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=110662 Penalty under Section 11AC of the Central Excise Act was held inapplicable where the dispute concerned wrong availment of Modvat credit on inputs found short and the credit had already been reversed and appropriated towards the duty demand. The demand arising from disallowance and reversal of the credit was upheld, but the statutory ingredients for imposing penalty under Section 11AC, namely non-payment or short payment of duty in the required circumstances, were not established on the facts. The text notes that penal action under the Modvat rules could have been considered, but no such penalty was imposed. Case-Laws Central Excise Fri, 16 Jan 2004 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=110662