Reversal of Cenvat credit amounts to non-taking of credit on inputs

Marudhar Spinning Mills Pvt Ltd Vs C.C.E (CESTAT Ahmedabad) Short issue required to be decided in this matter is as to whether such reversal of credit, either by payment of 6% in terms of Rule 6 or by debiting the same from the Cenvat credit account, would result to satisfying the condition of notification No. 30/2004-CE in question. The condition of the notification is that no credit should have been availed in respect of inputs used in the manufacture of such goods. We find that the issue is no more res integra and stands settled by Hon’ble Supreme Court in the case of Chandrapur Magnet Wi...