2018 (11) TMI 1372

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....r, AR For the Respondent ORDER Per: S.S GARG Appellants have filed these two appeals directed against the impugned order dated 5.2.2018 passed by the Commissioner (A) whereby the Commissioner (A) has upheld the Order-in-Original by upholding the demand of interest and increased the penalty in the departmental appeal from Rs. 5,000/- to Rs. 1,79,190/-. Both the appeals are being disposed of b....

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.... of Rs. 17,91,902/- along with interest amounting to Rs. 65,635/- under Rule 14 of CENVAT Credit Rules (CCR), 2004 and appropriated an amount of Rs. 17,91,902/- already reversed by the appellant towards the CENVAT credit confirmed. Further, he also imposed a penalty of Rs. 5,000/- on the appellant under Rule 15(1) of CCR, 2004. Aggrieved by the said order, appellant filed appeal before the Commiss....

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....tted that the credit so availed was not utilized and the same remained as a book entry in the record. He further submitted that there was sufficient balance in their CENVAT account during the relevant period and the same has been shown in their returns during the material period. He further submitted that once the appellants have reversed the CENVAT credit wrongly availed before issuance of show-c....

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....to take CENVAT credit up to 50% but as soon as they realized their mistake, they reversed the 50% before the issuance of show-cause notice. Further, I find that they had sufficient balance in their CENVAT credit account and therefore, they have not utilized the said CENVAT credit and it was merely a book entry. Further, I find that in the case of CCE vs. Bill Forge cited supra, the Hon'ble Kar....