2013 (3) TMI 185

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... for the Respondent. [Order]. - During the scrutiny of records of the assessee by Internal Audit, it was observed that the assessee had wrongly availed Cenvat Credit on the basis of EX-BOND Bill of Entry filed by their another unit at the time of de-bonding from EOU Scheme. Further on inquiry, it was revealed that M/s. FAG Bearings Ltd. (EOU) and M/s. FAG Bearings Ltd. (DTA) are situated in the....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....91/-, total amounting to Rs. 3,80,644/- vide RG 23C Pt.II E. No. 2124, dated 31-12-2007. 2. Based on the advise of the audit party, proceedings were initiated, on the ground that the credit was taken wrongly by the appellant after credit was reversed by the appellant, to demand interest and for imposition of penalty. This has culminated in confirmation of interest on the credit taken immediatel....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....r debonding certificate was issued by the Development Commissioner. Till such certificate was issued, the capital goods and inputs could not have been transferred or removed by the appellant and even though the goods in this case were not actually removed and lying in the same premises, removal in terms of Central excise law has not taken place and credit could not have been taken. He also relies ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... DTA unit in the past. He further submits one of the declarations in support of his claim. Since the EOU was always part of registered premises, removal is only a notional removal and since 100% EOU started functioning as a domestic unit, it has to be held that credit taken is correct. 5. I have considered the submissions made by both the sides. I am inclined to agree with the view taken by the....