2011 (1) TMI 724

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....the Order-in-Appeal No.05/2010 (H-II)CE dt. 29/3/2010 . 2. The relevant facts that arise for consideration are that the appellant herein is manufacturing dutiable as well as exempted goods by using common inputs on which Cenvat Credit has been availed. For the final products cleared to defence services, the appellant availed the benefit of exemption notification.  At the time of clearances, ....

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....-cause notice.  She would draw my attention specifically to para 6 wherein the allegations are made out.  She would also draw my attention to the findings of the ld. Commissioner(Appeals).  She would submit that both the lower authorities have mis-directed themselves in coming to conclusion that the appellants is required to pay 5% of the amount of the value of the exempted goods cl....

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....which has gone into manufacture of exempted goods cleared to defence purpose is sufficient compliance of provisions of Rule 6(3) read with Rules 6(3)(A).  On perusal of the records and show-cause notice, I find that the appellants have availed the Cenvat Credit on common inputs.  All along, the appellant has canvassed his case stating that they have reversed the Cenvat Credit attributabl....

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....ince both these factual matrixes i.e. circular as well as consumption, have not been considered by lower authorities, in my considered view this needs to be gone int by the lower authorities.  In view of this, I set aside the impugned order and remand the matter back to the Adjudicating Authority to re-consider the issue within the allegation as indicated in the show-cause notice and also con....