2019 (2) TMI 408

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....mo and written note of submission, is that appellant is a manufacturer of galvanized wire, HTGS wire, G.S. earth/GI stay wire and is registered under Central Excise Act. It has been availing credit of CENVAT on inputs, input services and capital goods in conformity to CENVAT Credit Rules, 2004. E.A. Audit observed Rs. 30,34,534/- as inadmissible credit on various input services. Appellant reversed credit of Rs. 21,95,531/- without utilisation and without challenging its admissibility. It disputed admissibility of credit of Rs. 8,39,003/- availed on the above referred services and invocation of extended period made through show-cause notice that was adjudicated and finally reached the Tribunal stage. 3. In the memo of appeal and during th....

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....4. Learned AR Shri Sanjay Hasija for the department, though not filed any cross objection, has vehemently argued with reference of case laws reported in 2009 (238) ELT 3 (SC) in the case of Union of India Vs. Rajasthan Spinning & Weaving Mills, 2011 (264) ELT 481 (SC) that penalty is imposable when conditions for penal liability spelt out in Section 11AC of the Central Excise Act is met and duty paid before issue of show-cause notice would not alter the situation. He further supported the reasoning and rationality found in the order of the Commissioner (Appeals) and sought no interference by this Tribunal. 5. Heard from both the sides at length and perused the case records vis a vis relied upon judicial decisions placed by the adversarie....

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....e legality of inadmissibility of those credits. This being the factual position and having record to the fact that CESTAT Larger Bench decision reported in 2018 (360) ELT 737 (Tri.- LB) in the case of Manglam Cement Ltd. Vs. Commissioner of Central Excise, Jaipur has given a finding that steel items used for fabrication of support structure for smooth erection of machine including cement had to be considered as "assessories of capital goods" and those items are inputs and eligible to get benefit of CENVAT credit as they fall within the scope and ambit of both Rules 2(a)(A) as well as 2(K) of CENVAT Credit Rules, 2004, it can't be said that those credits are inadmissible. Further as found from the nature of services electric installation, pr....