2007 (9) TMI 479

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....nbsp; for the Respondent. [Order per : T.K. Jayaraman,  Member (T)]. - In terms of the impugned Order-in-Appeal No. 394/2006-C.E. dated 17-8-2006,  the appellant is required to pre-deposit the duty amount of Rs. 1,23,999/- and a penalty of Rs. 50,000/- only. 2. The learned Advocate, who appeared on behalf of the appellant,  stated that,  the appellants received ca....

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....ndition for taking credit and that pre-condition is that,  the appellant should be in possession of the capital goods at the time of taking credit. The learned Advocate drew our attention to the penultimate para of the impugned order, where the Commissioner (Appeals) has given a finding that, the violation is basically a procedural. On that account, he had also reduced the penalty to Rs. 50,0....

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....ocuments and they availed the eligible credit of 50%. In terms of the Rules,  the balance 50% of the credit can be taken in any financial year subsequent to the financial year in which the capital goods were received. The condition is that,  in the financial year,  in which they take credit,  the capital goods should be in the possession and use of the manufacturer. It is not i....