2012 (10) TMI 925

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....Assessee. Ms. Ranjana Jha, Jt. CDR, for the Revenue. ORDER M/s. RAS Polytex Pvt. Limited (hereinafter referred to as the appellant) have a unit at Varanasi for manufacture of poly propylene bags which are cleared on payment of duty to their unit Satna, where the same are printed. The dispute in the present case is in respect of Satna unit. The appellant were treating the process of printi....

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....d penalty of Rs. 10,00,000/- on the appellant. On appeal being filed to Commissioner (Appeals), the Commissioner (Appeals) vide order-in-appeal dated 18-6-2012 upheld the Cenvat credit demand along with interest, but reduced the penalty to Rs. 1 lakh. Against this order of the Commissioner (Appeals), the appellant have filed this appeal along with stay application and against the part of the CCE (....

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....Tri.)], that in any case, when the Department's case is that the process undertaken by the appellant does not amount to manufacture, it would amount to clearing the Cenvat credit availed inputs as such, which is permitted in terms of Rule 3(5) of the Cenvat Credit Rules, 2004 on reversal of the Cenvat credit availed, that in this case the amount paid as duty on the printed bags is more than the Ce....

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....on printed bags is more than the Cenvat credit availed in respect of inputs. Even if department's contention that the process undertaken by the appellant does not amount to manufacture is accepted, it would amount to clearance of cenvated inputs as such in respect of which the provision of Rule 3(5) of the Cenvat Credit Rules, 2004 would be applicable and in respect of such clearances an amount eq....