2009 (11) TMI 792

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....d to outside buyers relating to the period October, 2001 to July, 2003 has come in appeal to Tribunal. While doing so, in para-20 of the order of adjudication, ld. Commissioner noticed that the appellant has not maintained separate accounts for receipt, consumption and inventory of inputs meant for use in the generation/manufacture of electricity (non-dutiable product) wheeled/sold to outside buyers. With this finding, he was of the view that it was not possible on his part to arrive at the correct amount of Cenvat credit attributable to inputs used in or in relation to generation of electricity wheeled/sold to outside buyers. He further examined to know whether the appellant had reversed the Cenvat credit before clearance of the electricit....

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....the quantum of inputs used in generation of electricity for sale to outsiders separately, the appellant is not at all eligible for any credit. Therefore, ld. Commissioner has rightly directed them to pay 8% of the value of the electricity sold to outsiders in order to fulfill the requirement of the law. Revenue's opposition is also against the penalty and time bar pleaded by learned Counsel for appellant. 4. Heard both sides for considerable time. 5. We do appreciate that in para-20 of the judgment, Hon'ble Supreme Court has held that the definition of "input" brings within its fold, inputs used for generation of electricity consumed captively. Such ratio laid down does not call for any denial of Cenvat Credit in so far as the inputs ....