https://www.taxtmi.com/caselaws?id=50928 Bona fide taking and utilisation of Modvat credit, supported by declaration under Rule 57G and correspondence with the department, did not justify penalty where the assessee acted without defiance of lawful directions. The Tribunal found the factual basis for penal action absent even if the credit itself was later treated as unavailable, and penalty was therefore not imposed. It also held that once the disputed credit had already been debited in the RG 23A account on utilisation towards duty, the same amount could not be demanded again merely because the finished goods were held non-dutiable. Relief was thus retained against both penalty and recovery of the credit amount. en-us Wed, 24 Oct 2001 00:00:00 +0530 Sat, 18 Sep 2010 14:23:53 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=50928 Bona fide taking and utilisation of Modvat credit, supported by declaration under Rule 57G and correspondence with the department, did not justify penalty where the assessee acted without defiance of lawful directions. The Tribunal found the factual basis for penal action absent even if the credit itself was later treated as unavailable, and penalty was therefore not imposed. It also held that once the disputed credit had already been debited in the RG 23A account on utilisation towards duty, the same amount could not be demanded again merely because the finished goods were held non-dutiable. Relief was thus retained against both penalty and recovery of the credit amount. Case-Laws Central Excise Wed, 24 Oct 2001 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=50928