2018 (8) TMI 1568

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....lant Shri R. Subramaniyan, AC (AR) For the Respondent ORDER The brief facts are that the appellant are manufacturers of Rail Shift, Fork Shift and Lug Shift and are availing the facility of Cenvat credit on inputs, capital goods. On verification of records, it was found that during the period from March 2011 to February 2012, some of the imported raw materials were rejected and could not ....

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....he appellants aggrieved, are now before the Tribunal. 3. On behalf of the appellant, the Ld.Consultant, Sh.S.Jayanth submitted that the appellant is contesting only the penalty imposed and is not contesting the duty demand or the interest thereon. He submitted that the authorities below had imposed penalty u/s.11AC to the tune of Rs. 3,81,895/- (50% of duty demand). The only allegation is that ....

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....edit balance of more than Rs. 5 Crores. The appellant has enclosed proof for the same by way of RG 23 Part II for inputs/capital goods and input services put together. Ignoring all these, that too after appellant has revered the credit alongwith interest, the penalty has been imposed. That there was no suppression of facts with intention to evade payment of duty, which is clear from the fact that ....

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.... the department. The appellants cannot be saddled with intention to evade payment of duty, when they have such huge credit balance. It is evident from the situation as well as the materials placed before me, there was no malafide on the part of the appellant and the same was only an inadvertent mistake in reversing the credit. Further the assessee has cleared the rejected imports / scrap on paymen....