TaxTMI 
TaxTMI 
2007 (4) TMI 64
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....der of the Commissioner of Central Excise (Appeals), Coimbatore. In the impugned order, the Commissioner (Appeals has upheld the order of the Additional Commissioner of Central Excise, disallowing Cenvat credit of Rs. 1,48,599/- availed during 7/2001 to 11/2001, demanding duty of Rs. 1,23,709/- due on "Polyester Blended Yarn" cleared using part of the above credit and imposing a penalty of Rs. 1,4....
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....h Office. Proceedings had been initiated to disallow the modvat credit relating to the man-made fibre generated waste availed by the assessee against forms XXVII covering "P.C. Waste", to demand duty on clearances of yarn made by the assessee utilizing the said credit and to penalize it for violation of the statutory provisions involved in the transactions. Before the original authority, the asses....
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....goods cited by the assessee not relevant to the case on hand. For the above reasons, the original authority disallowed Modvat credit of Rs. 1,48,599/-, demanded an amount of Rs. 1,23,709/- towards the duty paid using the said credit and imposed a penalty of Rs. 1,49,599/-. For the same reasons, the lower appellate authority dismissed the appeal. However, he found the equal amount of penalty impose....
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....ties with records relating to production of the finished goods and the accounts of raw material. As the products "usable man-made fibre generated waste processed for spinning" and "P.C. Waste" (Polyester Cotton Waste) are totally different products, in the absence of any efforts made by the assessee to prove with records that the transport documents accompanying the raw materials to their factory ....