2009 (5) TMI 767

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....er]. -  The appellants filed this appeal against imposition of penalty of Rs. 1 lakh under Rules 15(1) and 15(3) of Cenvat Credit Rules, 2004. 2. After hearing both sides and on perusal of the records, it is seen that the show cause notice was issued proposing to demand an amount of Rs. 1,60,11,655.00 being the amount payable at the rate of 10% on the value of clearances of exempted pr....

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....e relied on the decision of the Tribunal in the case of Hindustan Coca Cola Beverages Pvt. Ltd. v. CCE, Thane-I, reported in 2005 (190) E.L.T. 287 (Tri. - Mumbai). 4. Learned D.R. reiterates the findings of the Commissioner. He submits that the appellants contravened Rule 6 of Cenvat Credit Rules and, therefore, imposition of penalty is justified. He also submits that the case law relied upo....

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....he appellants own case as reported in 2005 (190) E.L.T. 287 held that when credit availed by the company reversed by them on their own before utilization, imposition of penalty on account of wrong availment of credit was unjustified. On a query from the Bench the learned Advocate submits that they had sufficient balance in the Cenvat account at the relevant time and they have not utilized this amo....