2007 (4) TMI 716

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....Reddy (JDR) ORDER T. K. Jayaraman (Technical Member) This appeal has been filed against Order-in-Original No: 9/2006 dated 26.4.2006 passed by Commissioner of Central Excise, Mangalore. 2. The short point is whether M/s. MRPL the appellant has to pay an amount equal to 10% of the total price of the exempted goods viz., SKO and LPG charged by them at the time of clearance from the factory. As p....

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....rest under Section 11AB read with Rule 14 of Cenvat Credit Rules, 2004 has been demanded. The penalty of Rs. 10,000/- has also been imposed under Rule 15 of the Cenvat Credit Rules, 2004. 3. We heard the learned advocates S/Shri J.J. Bhat, Sr. Advocate, Rajesh Chander Kumar and A. Dave. The learned advocates relied on the following decisions which hold that reversal of credit availed is sufficien....

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.....-Mumbai). 4. The learned JDR took us through the impugned order. He said that in terms of Rule 6 of Cenvat Credit Rules there is also a provision for paying an amount equal to the cenvat credit attributable to inputs used in or in relation to the manufacture of final products for certain items. Such items are enumerated in Rule 6 (3) (a). There has been specific mention of certain exempted goods....

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.... Ltd. vs. CCE, Cochin - 2005 (187) ELT 390 (Tri. - Bang.) (iv) National Information Technologies Ltd. vs. CCE, Bhopal - 2005 (179) ELT 404 (Tri.-Del.) 5. We have heard both sides. In the context of admissibility of an exemption Notification 69/86, the Hon'ble Apex Court in the case of Chandrapur Magnet Wires Pvt. Ltd. vs. CCE, Nagpur - 1996 (81) ELT 3 (SC) has held that reversal of modvat c....