No penalty without SCN for wrongful availment of Cenvat Credit

Nava Bharat Ventures Limited Vs The Commissioner of Central Excise Customs & Service Tax (CESTAT Hyderabad) Rule 15 (Confiscation and penalty) of CENVAT Credit Rules, 2004 provides for imposition of penalty if CENVAT credit has been wrongly availed which allegation must be made in the show cause notice with a proposal to recover such wrongly availed CENVAT credit under Rule 14 but such a demand has not been made. Instead, a demand of an amount equal to 8%/ 10% of the exempted goods under Rule 6(3) has been made in the show cause notice, which is only an option to the assessee and cannot b...