2008 (9) TMI 519

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....it on inputs and capital goods and utilizing for payment of excise duty for clearance of the final products. The respondent has also been sending some of the inputs for the purpose of getting the goods manufactured on job work basis. They opted to avail exemption under Notification No. 30/2004 dated 09.07.2004 with effect from 19.07.2004. When they opted for this exemption, naturally there were some quantity of inputs lying in their own factory and in the premises of job workers either as inputs as such or as inputs in processing stage and/or as inputs in the finished goods which are lying uncleared in stock. Some amount of credit was also lying in their account. They also admittedly taken credit, inadvertently, on the basis of ineligible d....

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....and submits that there was sufficient balance available with the respondent in their CENVAT credit account to reverse the ineligible credit and that there was no pecuniary benefit derived by them. He also submits that this point has not been appreciated both by the original authority and by the Commissioner (Appeals), though the order of the Commissioner (Appeals) is in their favour. He relies on the decision of the Hon'ble High Court of Punjab and Haryana in the case of Commissioner of Central Excise, Delhi-III vs. Maruti Udyog Ltd, reported in 2007 (81) RLT 804 (P&H)=2007 (214) ELT 173 (P and H) in support of his contention that in the absence of utilization of CENVAT credit, the question of payment of interest does not arise. This decisi....