TaxTMI 
TaxTMI 
TaxTMI 
2017 (11) TMI 601
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....na Fabrications Pvt ltd Plot NO. 8, F-II Block, MIDC, Pimpri, Pune-411 018 (as detailed in the show cause notice no. 37/P-iii/PR-II/COMMR/PREV/2006, dated 1-4-2006) under Rule 14 of the Cenvat Credit Rules, 2004 read with the proviso to Section 11A(1) of the Central Excise Act, 1944. 2. I order for recovery of interest on the duty so determined under the provisions of Rule 14 of the Cenvat Credit Rules, 2004 read with Section 11AB of the Central Excise Act, 1944 from Krishna Fabrications Pvt. Ltd., Plot No. Pune-411018. 3. I impose penalty of Rs. 42,15,215/- (Rupees Forty Two Lakhs Fifteen Thousand Hundred Fifteen Only) under Rule 15(2) of the CENVAT Credit Rules, 2004 read Section 11AC of the Central Excise Act, 1944 upon M/s. Krishna....
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....other law for time being in force. The fact of the case is that appellant hold central excise registration and engaged in manufacture of Load Body falling under CHS 8708 of Central Excise Tariff Act, 1984. In addition to the manufacture they are also engaged in the painting of assembly frames. As regard the painting of assembly frames on receipt of assembly frame from M/s. Tata Motors Ltd, they availed Cenvat credit and after activity of painting, the paintend assembly frames were cleared on payment of duty on the transaction value. The case of the department is that since the activity of painting does not amount to manufacture in terms of Section 2(f) of Central Excise Act, 1944. The appellant were not entitle for the Cenvat credit, accor....
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....nalty may be reduced to 25% in terms of proviso to Section 11AC for the reason that the adjudicating authority in the impugned order has not extended option of 25% penalty. In this regard he placed reliance on case of Commissioner of C. Ex. & Customs Vs. R.A. Shaikh, paper Mills Pvt Ltd[2016(335)ELT 203(S.C.)] 3. On the other hand, Shri. H.M. Dixit, Ld. Asstt. Commissioner(A.R.) appearing on behalf of the Revenue reiterates the findings of the impugned order. 4. We have carefully considered the submissions made by both sides and perused the record. 5. We find that revenue has denied the cenvat credit on the duty paid goods received by the appellant from M/s. Tata Motors Ltd on the ground that after receipt, appellant have carried out onl....
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....n following the provisions of sub-rule (1) and sub-rule (2), the assessee may receive the goods for being re-made, refined, re-conditioned or for any other reason and may remove the goods subsequently subject to such conditions as may be specified by the Commissioner. As per the plain reading of the above provision, it can be seen that the Cenvat credit in respect of duty paid goods is allowed when the said duty paid goods is brought into factory for the purpose of remaking, refine, reconditioning or for any other reason. In the present case admittedly duty paid goods brought by the appellant has undergone the painting process. As per the provision of Rule 16(2) assesse is supposed to discharge excise duty equivalent to Cenvat credit avail....