2011 (1) TMI 114

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....rry Towel) by availing full exemption under Notification No.30/2004-CE . The condition attached to the said Notification was that any CENVAT credit should not be availed on inputs/capital goods. The appellant s inputs were yarn, dyes, packing materials and furnace oil. After verification of their records, the department issued 3 show-cause notices dated 22.6.06, 4.12.2006 and 31.7.2005 for recovery of duty for the periods October 2004 to October, 2005, November 2005 to June, 2006 and July, 2006 to December, 2006 respectively. The first show-cause notice invoked the extended period of limitation on the ground of suppression of facts. All the show-cause notices proposed to deny the benefit of the Notification to the assessee on the ground tha....

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.... out that the SLP filed by the department against the High Court s judgment was dismissed by the apex court as reported in 2009(240) ELT A 41 (S.C.). The ld.counsel has also cited other case law in support of the appellant s case.   3. After giving careful consideration to the submissions, we have found serious infirmities in the impugned order. The show-cause notices raised serious allegations against the assessee and proposed to deny the benefit of Notification No.30/04-CE ibid to them. One of the show-cause notices raised the serious allegation of suppression of facts with intent to evade payment of duty , against the party, and invoked the extended period of limitation for recovery of duty from them. All the show-cause notices sou....