2006 (5) TMI 426

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....2006 issued by the Joint Commissioner of Central Excise, Chennai-IV Commissionerate, Chennai. 2. Briefly, the facts of the case are as follows : The applicant-company are manufacturers of Rubber components, Motor Vehicle Parts falling under Chapter 40 and 87 of the Central Excise Tariff Act, 1985 respectively and availing Cenvat credit on the inputs and capital goods. Central Excise officers visited their factory on 1-11-2003, scrutinized their records and conducted investigation which revealed that the applicant had imported finished goods such as, TB Gasket, Duct Air, R/Cover Gasket, Seal for Cap, O-Ring, Samlip Strips, etc. and availed Cenvat credit as inputs and cleared the same as if manufactured in their factory by issuing ....

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....erence to the SCN dated 18-1-2006 on wrong availment of Cenvat credit of Rs. 72,863/- and for recovery of duty of Rs. 1,66,541/- for non-amortization of the cost of moulds and dyes, received free of cost from their customers, in their transaction value. 4. During the hearing held on 3-5-2006, Shri G. Natarajan, Advocate represented the applicant-company, while the Revenue was represented by Smt. B. Yamuna Devi, Deputy Commissioner of Central Excise, Poonamalee Division, Chennai-IV Commissionerate, Chennai. 5. The Advocate narrated the background of the case and mentioned that the applicant has accepted both the two charges against them and has since paid the entire duty amount of Rs. 2,33,404/- before the issue of SCN and pl....

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.... 2003, whereas the amount of duty was paid after two years. Considering the long duration of financial accommodation availed by the applicant and the merit of the case, the Bench orders for payment of simple interest @ 10% per annum from the date duty was due and till paid. In other words, in this case the Bench grants immunity to the applicant from interest in excess of 10% per annum taking note of the cooperation extended by the applicant before the Commission. 7. Accordingly, taking into account the above facts the application satisfies all the entry conditions laid down under Section 32E of the Central Excise Act, 1944. We therefore allow the application to be proceeded with under sub-section (1) of Section 32F of Central Excise....