2006 (5) TMI 352

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....s, for the Appellant. Shri S. Das, SDR, for the Respondent. [Order per : C.N.B. Nair, Member (T)]. - The appellant is a multi-product company manufacturing water pumps, gensets and engines. One of them, namely, water pump set, was eligible for partial exemption, under Notification 10/02-C.E., dt. 1-3-02. Under this notification, duty was required to be paid only at 4% (against the normal ....

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.... of violation of the condition relating to payment of duty "in cash or account current". 3. The submission of the appellant is that the debit of duty from cenvat account also should be treated as satisfying the condition of payment of duty from "account current" since it is settled law [2005 (183) E.L.T. 351 (Bom.)] that Cenvat account is the same as account current. 4. The appella....

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.... 5. During the hearing of the case, Ld. Counsel has pointed out that similar dispute in relation to irregular availment of Modvat credit had been the subject matter of judgment by Hon'ble Supreme Court, High Court and the Tribunal and it has been held that reversal of credit so as to neutralise the effect of taking ineligible credit is sufficient to satisfy the condition in the notification. ....

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....ited source, but errors were committed while making debits of duty from current account and Cenvat credit. The appellant had made duty payment from PLA to the extent of almost five times the duty required to be paid from that account on pump sets while all those payments could be made from cenvat account. Apparently, it is only an error in making debits from the two accounts. The appellant has als....