2018 (7) TMI 1957

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....goods imported under Project Import Scheme (Ch 98.01) as part of their modernization package. Two Show Cause Notices dated 10.09.1998 and 12.1.1999 were issued proposing to deny credit on the ground that since the capital goods were imported after 1.3.1997, credit was available only to an extent of 75% of the duty paid as against 100% credit availed. 2. The adjudicating authority by the Order-in-Original dated 22.10.2002 confirmed the demands. The Commissioner (Appeals) by the impugned order-in-Appeal set aside substantial part of the demands on merits and on limitation. The Commissioner (Appeals) however, confirmed part of the demand. 3. The Revenue has filed the present appeal only challenging a portion of the demand dropped by the ....

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....he Project Import Scheme. 8. Relevant portion of Rule 57U of the erstwhile Central Excise Rules, 1944 is extracted below:- Rule 57U. Recovery of credit wrongly availed of or utilized in an irregular manner.-(I) where credit of the specified duty paid on capital goods under rule 57Q has been taken an account of an error, omission or misconstruction, on the part of an officer or a manufacturer, or an assessee, the proper officer may, within six months from the date of filing the return required to be submitted in terms of sub-rule (10) of rule 57T, and where no such return as aforesaid is filed, within six months from the last date on which such return is to be filed under the said rules, serve notice on the manufacturer or the as....