TaxTMI 
TaxTMI 
2013 (12) TMI 24
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.... record, the respondent, who are engaged in the manufacture of rectified spirit, special denatured ethyl alcohol, absolute alcohol, country liquor and Indian made foreign liquor, some of which are dutiable and some not excisable, was issued a show cause notice dated 19-1-2006 alleging that they had availed excess Cenvat credit to the tune of Rs. 66,07,161/- inasmuch as the same pertains to the raw materials used in the manufacture of exempted product. The respondent accepted the above fact and had already reversed the said credit on 22-2-2005. The show cause notice was adjudicated by the Deputy Commissioner, appropriating the reversed amount and confirming the interest of Rs. 7,82,797/- and imposing penalty of Rs. 1 lakh upon them. 3.&em....
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....msp;However, it is seen that the remand proceedings were taken up by the Assistant Commissioner of Central Excise, Moradabad who though observed that the Cenvat credit availed by the assessee was not utilized by them but still confirmed the interest of Rs. 7,82,797/- and imposed penalty of Rs. 1 lakh on the ground that Hon'ble Punjab and Haryana High Court judgment in the matter of Ind-Swift Laboratories has been reversed by the Hon'ble Supreme Court [2011 (265) E.L.T. 3 (S.C.) = 2012 (25) S.T.R. 184 (S.C.)]. The said order dated 15-3-2012 passed by the Assistant Commissioner was again put to challenge before Commissioner (Appeals), who vide his present impugned order set aside the same. Hence the present appeal by Revenue. 7. After....
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....mention that the assessee is entitled to fair opportunity of hearing." Admittedly, the said order of the Tribunal was not put to challenge by the Revenue. On the contrary, there is a special report of the Superintendent (Review), Central Excise, Meerut-II intimating that the said decision of the Tribunal stands accepted by the Commissioner (Review), Meerut-II. It is seen that based upon the said report about acceptance of the Tribunal's order, the Deputy Commissioner refunded an amount of Rs. 1 lakh pre-deposited by the assessee and said order of the Deputy Commissioner was not put to challenge by Revenue. However, when the Assistant Commissioner initiated the remand proceeding, he again confirmed the demand on the ground that the Ape....
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....y when the issue of the interest and penalty had already been decided by the Hon'ble CESTAT and accepted by the Department. I therefore, hold that the impugned order is not sustainable and liable to set aside. I therefore, pass the following order." In view of the above, I note that there is no dispute about the Tribunal's order having not been further challenged by Revenue. As such, it stands rightly concluded by the appellate authority that same has attained finality and the Assistant Commissioner was bound by the direction contained in the said order of the Tribunal in spite of the reversal of the decision of the Hon'ble Punjab and Haryana High Court. Revenue was aware that Hon'ble Punjab & Haryana High Court judgment in the case of I....