2011 (7) TMI 628

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.... PER: ASHOK JINDAL These two appeals are filed by the appellants against the impugned order demanding duty, interest and equal amount of penalty under Section 11AC of Central Excise Act, 1944. 2. The brief facts of the case are that the appellants are manufacturers of IC Engines. During the course of manufacturing business, they cleared some inputs to job worker following the procedure laid ....

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....uts to the job workers under Rule 4(5) (a) of Cenvat Credit Rules without reversing the credit for further processing. During the course of processing of the inputs, some waste and scrap was generated at the end of the job worker, therefore, the appellants have received less quantity of processed inputs. He further submitted that there is no provision in Cenvat Credit Rules to reverse the credit o....

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.... on the same allegation, the extended period of limitation cannot be invoked as held by the Hon#ble Apex Court in the case of Nizam Sugar Factory vs. CCE, AP reported in 2006 (197) ELT 465 (SC).  4. On the other hand, Learned SDR submitted that as per Rule 4(5) (a) of Cenvat Credit Rules the inputs which are sent for processing to the job workers, the same is to be received back by the app....