Recovery proceedings u/r. 14 of CCR, 2004 unsustainable in premature availment of cenvat of capital goods

Hindustan Petroleum Corporation Ltd Vs Commissioner of Central Excise (CESTAT Mumbai) CESTAT Mumbai held that in case of premature availment of cenvat credit on capital goods the recovery proceedings under rule 14 of CENVAT Credit Rules, 2004 (CCR, 2004) would not sustain and only interest liability will arise. Facts- The present appeal is against the order of Commissioner of Central Excise which is confined to resolution on the correctness of demand having been confirmed under rule 14 of CENVAT Credit Rules, 2004 and even after the reversal of credit of ₹ 1,56,461/- that is alleged to have ...