Final Order No. A/975/2012-EX(BR)(PB) and Stay Order No. 1379/2012-EX(BR)(PB) arising from in Application No. E/Stay/1662/2012 in Appeal No. E/1314/2012. Case: Unn Sugar Complex Vs Commissioner of Central Excise, Meerut-I. CEGAT (Customs, Excise & Gold (Control) Appellate Tribunal) & CESTAT (Customs, Excise and Service Tax Appellate Tribunal)

Case NumberFinal Order No. A/975/2012-EX(BR)(PB) and Stay Order No. 1379/2012-EX(BR)(PB) arising from in Application No. E/Stay/1662/2012 in Appeal No. E/1314/2012
CounselFor Appellant: Shri S.C. Kamra, Advocate and For Respondents: Shri M.S. Negi, DR.
JudgesAjit Bharihoke, President and Shri Rakesh Kumar, Member (T)
IssueCenvat Credit Rules, 2004 - Rules 6(3), 14
Judgement DateAugust 16, 2012
CourtCEGAT (Customs, Excise & Gold (Control) Appellate Tribunal) & CESTAT (Customs, Excise and Service Tax Appellate Tribunal)

Order:

Rakesh Kumar, Member (T), (Principal Bench At New Delhi)

  1. The appellant manufacture sugar and molasses chargeable to Central Excise Duty. They avail Cenvat credit of excise duty paid on inputs. In course of manufacture of sugar during crushing of sugarcane by-product/waste -- bagasse emerges. The department was of the view that since the appellant have not maintained separate account and inventory of the inputs used in or in relation to manufacture of dutiable final products - sugar and molasses and exempted final product - bagasse, in accordance with the provisions of Rule 6(3) of Cenvat Credit Rules, 2004, they would be required to pay an amount equal to 8% of the sale value of bagasse. On this basis, the Jurisdictional Additional Commissioner vide order-in-original dated 22-9-2010 confirmed the demand of Rs. 22,34,930/- along with interest and imposed penalty of equal amount. On appeal to Commissioner (Appeals), the Assistant Commissioner''s order was upheld. Against this order of the Commissioner (Appeals), this appeal along with stay application has been filed.

  2. Though this matter is listed for hearing of stay application, since a short issue is involved, we are of the view that the appeal itself can be taken up for final disposal. Accordingly, with the consent of both the sides, the matter was heard for final disposal after waiving the requirement of pre-deposit.

  3. Shri S.C. Kamra, Advocate, the learned Counsel for the appellant, pleaded that the issue involved in this case stands decided in their favour by the judgment of the Tribunal in the case of CCE, Meerut-I v. Shakumbari Sugar & Allied Industries Ltd. reported in 2004 (176) ELT 819 (Tri.-Del.), and that the Civil appeal filed by the Department against this judgment of the Tribunal has been dismissed by the Hon''ble Supreme Court in the case of...

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