2016 (7) TMI 1024

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ellant. Shri M.R. Sharma, Authorized Representative (DR) - for the Respondent. ORDER Per. B. Ravichandran :- The appeal is against order dated 08/2/2016 of Commissioner (Appeals), Bhopal. The appellants are engaged in the manufacture of bulk drugs liable to Central Excise duty. They were availing credit on various inputs in terms of Cenvat Credit Rules, 2004. On 12th October 2007 there....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... on the appellant. On appeal, the Commissioner (Appeals) vide the impugned order upheld the original order. Aggrieved, the appellant is in appeal. 2. The learned Counsel for the appellant submitted that though they reversed the full credit immediately on being pointed out by the audit, they are contesting the correctness of denial of credit of Rs. 1,05,726/- which are attributable to the credit....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... He submitted that there is absolutely no case for imposition of penalty as the fire accident has been intimated within two days to the Department followed up by detailed request for remission of duty on raw material as well as finished goods. In such situation there is no ground for penal action. Further, it is a fact that both the lower Authorities have not specified the grounds under which such....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....rsal of credit on such inputs contained in final product is pre-mature and unjustified. The appellants are not contesting the reversal of credit on the inputs lost in fire accident. 5. Regarding the penalty imposed on the appellant, I find that there is no finding by the lower Authorities justifying the imposition of equal amount of penalty under Rule 15 (2) of Cenvat Credit Rules, 2004. Admitt....