https://www.taxtmi.com/caselaws?id=123171 Penalty for wrongful Modvat credit on capital goods was not sustainable because Rule 57I(4) applied to inputs, not capital goods, and Rule 57U(6) was not attracted on the facts. The credit had been taken on proper duty-paying documents and was reversed after the defect was noticed, before issuance of the show cause notice; therefore, fraud, wilful misstatement, suppression, or intent to evade duty was not established. Interest under Section 11AB was also not leviable for the same reason, as the record did not show an evasion intent. The duty already paid was left undisturbed. en-us Tue, 27 Nov 2007 00:00:00 +0530 Sat, 08 Sep 2012 12:41:46 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=123171 Penalty for wrongful Modvat credit on capital goods was not sustainable because Rule 57I(4) applied to inputs, not capital goods, and Rule 57U(6) was not attracted on the facts. The credit had been taken on proper duty-paying documents and was reversed after the defect was noticed, before issuance of the show cause notice; therefore, fraud, wilful misstatement, suppression, or intent to evade duty was not established. Interest under Section 11AB was also not leviable for the same reason, as the record did not show an evasion intent. The duty already paid was left undisturbed. Case-Laws Central Excise Tue, 27 Nov 2007 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=123171