RELIANCE INDUSTRIES LTD. Vs. COMMISSIONER OF CENTRAL EXCISE

JUDGEMENT

(1.) THIS appeal is directed against the Order -in -Appeal No. 415/RGD/2006 dt. 30/6/2006.

(2.) THE relevant fact that arise for consideration are the appellant has availed Cenvat Credit of an amount of Rs. 5,78,121/ - on the furnace oil imported by them. The appellant availed the entire credit of CVD paid at the rate of 15%. The said credit was availed by the appellant on 22.3.1997. Subsequently by Notification No. 145/97 dt. 3.5.1997 the Central Government restricted the credit to be availed at the rate of 10% and made this notification effective retrospectively.

(3.) THE appellants were issued show cause notice dt. 3.4 2002 for demand of the credit availed by them and sought to impose penalties and interest. The adjudicating authority held that the appellant is ineligible to avail the credit of the amount and hence confirmed the demand with interest, imposed equal amount of penalty under Section 11AC and a further penalty under Rule 57I read with Rule 173Q. The appeal filed by the appellant was dismissed by the Ld. Commissioner (Appeals).