COMMISSIONER OF CENTRAL EXCISE Vs. NATIONAL STEEL

JUDGEMENT

(1.) The Revenue is aggrieved by an order dated 28th November, 2005 passed by the Customs, Excise and Service Tax Appellate Tribunal, in Appeal No. E/786/03 -NB(S). The respondent had claimed Modvat credit on M.S. scrap in the months of June and August, 1995.

(2.) The Revenue conducted certain investigations and enquiries into the matter which appear to have concluded some time in 1996. Ordinarily, if some action had to be taken against the respondent, the Revenue should have issued a show cause notice to the respondent within a period of six months, as provided under the Central Excise Act. However, for reasons which are not at all clear from the record, a show cause notice was issued to the respondent only on 13th May, 1999 without invoking the extended period of limitation, as given in the proviso to Sec. 11A of the Central Excise Act.

(3.) We have gone through the show cause notice and find that there is no mention made in the show cause notice invoking the extended period of limitation. We note that the Tribunal relied upon a decision rendered by it in the case of Gammon India Ltd. v/s. Commissioner of Central Excise, Goa,, 2002 (146) E.L.T. 173 and came to the conclusion that the show cause notice was barred by time.