https://www.taxtmi.com/caselaws?id=50740 Modvat credit and penalty under Rule 57-I were said to be unsustainable where the adjudicating authority had not verified receipt of inputs, actual availment of credit, stock position, or duty already paid on unusable inputs. The note stresses that demand cannot rest on assumptions, especially where the record does not establish that the disputed chips were received or that credit was taken, and where no separate demand lies merely because inputs remained in stock. It also notes that any duty already paid on clearance of unusable chips had to be accounted for. On that basis, the impugned order was treated as unsustainable in fact and law. en-us Thu, 23 Aug 2001 00:00:00 +0530 Fri, 03 Sep 2010 10:45:11 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=50740 Modvat credit and penalty under Rule 57-I were said to be unsustainable where the adjudicating authority had not verified receipt of inputs, actual availment of credit, stock position, or duty already paid on unusable inputs. The note stresses that demand cannot rest on assumptions, especially where the record does not establish that the disputed chips were received or that credit was taken, and where no separate demand lies merely because inputs remained in stock. It also notes that any duty already paid on clearance of unusable chips had to be accounted for. On that basis, the impugned order was treated as unsustainable in fact and law. Case-Laws Central Excise Thu, 23 Aug 2001 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=50740