HINDUSTAN LEVER LTD. Vs. COMMISSIONER OF C. EX.

JUDGEMENT

(1.) HEARD both sides.

(2.) THE present appeal is filed by M/s. Hindustan Lever Ltd. aggrieved by the Order -in -Appeal dated 10.12.2003 passed by the Commissioner of Central Excise and Customs (Appeals), Nagpur.

(3.) THE appellants took over the company, namely, M/s. Brooke Bond Lipton (India) Ltd., (BBL), along with all assets and liabilities as per Court's Order dated 9.12.1996. The appellants continued manufacturing activities of the erstwhile company as before. They have requested the Commissioner, Aurangabad, vide their letter dated 21.3.1997 for the transfer of unutilized balance of Modvat credit lying with RG -23A Part -II and RC 23C Part II of BBL to their account, in view of take over. They have also replied vide their letter dated 6.8.1997 to the queries raised by the Department. But there was no communication from the Department granting permission for transfer of Modvat credit. The appellants, having waited for more than two years, transferred the credit of Rs. 1,24,508/ - in their RC 23A Part II account vide Entry No. 662., dated 25.8.1999 and of Rs. 46,248/ - in RG 23 C Part II account vide Entry No. 21, dated 25.8.1999 lying unutilized in the account of BBL and informed the Department vide their letter dated 25.8.1999. Thereupon, Show Cause Notice dated 24.12.1999 was issued as to why the said amount should not be demanded and recovered from the appellants under the provision of Rule 57 -I/57U of the Central Excise Rules, 1944 and why penalty should not be imposed?