RAJA MECHANICAL CO.(P) LTD. vs COMMNR. OF CENTRAL EXCISE, DELHI-I

The Supreme Court upheld the decision of the adjudicating authority to disallow MODVAT credit of Rs. 1,47,000 under Rule 57G of the Central Excise Rules, 1944, citing that the declaration for credit was not filed within the prescribed time under the Central Excise Act, 1944. The Court found that the actual delivery of goods occurred on 30.6.1997, contrary to the appellant's claim of receipt on 30.9.1995, thus validating the penalty imposed under Section 11AC. The appeal was dismissed, affirming the lower court's ruling.