Customs, Excise and Gold Tribunal - Calcutta
M/S. Air Conditioning Corporation Ltd. vs C.C.E., Calcutta-I on 8 February, 2001
Equivalent citations: 2002(149)ELT585(TRI-KOLKATA)
ORDER
Dr. S.N. Busi
1. The prayer in the present Stay Petition is for dispensing with predeposit of Rs.49,750/- disallowed as modvat credit and demand confirmed and penalty of Rs.5000/- imposed vide Order-in-Original dated 3.8.98 of Assistant Commissioner of Central Excise, Calcutta-II Division which was confirmed by Commissioner or Central Excise (Appeals) vide his Order-in-Appeal No.185/Cal-I/2000 dated 18.8.2000.
2. The said amount of modvat credit was denied on the ground that the concerned invoices did not contain preprinted statutory information as prescribed u/r 57G(2) of the Central Excise Rules, 1944 read with Notification No.23/95-CE(NT) dated 30.5.95.
3. Shri D.K. Saha, learned Consultant appearing for the applicants/appellants. submits that the subject invoices contained all the particulars necessary for verification even though the required information in the said invoices was not preprinted. He argues modvat credit being a beneficial piece of legislation, it cannot be denied on mere procedural irregularity. In support of his arguments, the learned Consultant relies upon the decision of the Tribunal in their Order No.A-1008-Cal/2000 dated 17.7.2000 wherein it was held that denial of credit on such procedural irregularity was unjustified. He, therefore, contends that there is a strong prima facie case in their favour for grant of stay and dispensing of predeposit of duty and penalty.
4. Shri A.K.Chattopadhaya, learned JDR appearing for the Revenue, submits that as per the law it is a mandatory requirement to preprint the invoices and as the appellants failed to comply with that requirement modvat credit was rightly denied.
5. After hearing both sides and on a careful consideration of the arguments advanced by them, I am of the centative opinion that there is a force in the submissions of the applicants/appellants. In view thereof, their prayer for stay and dispensing of predeposit of the said duty and penalty merits favourable consideration. Accordingly, I order unconditional stay and dispense with predeposit of the said duty and penalty.
6. In the result, the stay petition is allowed unconditionally.