2006 (1) TMI 13

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....nal products. With effect from 1.3.2003, as per the provisions of Rule 3 (3) of rat Credit Rules, 2002, when the inputs on which Cenvat credit has been taken are removed as such from the factory, the manufacturer of the final products shall pay an amount equal to the credit availed in respect of such and such removal shall be under cover of an invoice. In the instant case, the appellants followed ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....(Appeals) in the impugned Order-in-Appeal No. 16/2005 dated 23.2.2005 has upheld order of the Original authority. The appellants have strongly challenged findings of the lower authorities.   2. Shri M.S. Srinivasa, learned Advocate appeared for the appellants and Shri KS. Bhat, learned SDR appeared for the Revenue.   3. The main contention of the learned Advocate is that ther....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....how the demand of duty on the excess duty paid can stand the test of reason and law. What is the motive in reversing the excess credit. The Commissioner (Appeals) has given the following reasons:  "It only appears that the appellant decided to make use of the credit accumulated in their account and encash the same after coming to know that they have to pay the duty only equivalent to credi....