IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.N.RAMACHANDRAN NAIR & THE HONOURABLE MR. JUSTICE T.R.RAMACHANDRAN NAIR WEDNESDAY, THE 20TH FEBRUARY 2008 / 1ST PHALGUNA 1929 RC.No. 4 of 2003() ------------------ APPLICANT: ----------- M/S.KERALA ELECTRICAL & ALLIED ENGG. CO. LTD., KASARGOD. BY ADV. SRI.V.SURENDRA NAIK (PARTY) RESPONDENTS: REVISION PETITIONER/APPELLANT/RESPONDENT ----------------------------------------------------- THE COMMISSIONER OF CENTRAL EXCISE, CALICUT. BY ADV. SRI.P.PARAMESWARAN NAIR, ASST.SG. THIS REFERRED CASE HAVING BEEN FINALLY HEARD ON 20/02/2008, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: C.N.RAMACHANDRAN NAIR & T.R.RAMACHANDRAN NAIR, JJ. .................................................................... R.C. No.4 of 2003 .................................................................... Dated this the 20th day of February, 2008. JUDGMENT C.N.Ramachandran Nair, J. The case referred by the Tribunal is at the request of the Commissioner of Central Excise challenging the order of the CEGAT confirming first appellate order cancelling penalty levied on the respondent. We have heard the Assistant Solicitor General appearing for the appellant. Respondent, a Government of Kerala company, wrongly claimed modvat credit of Rs.2,77,680/-. However, even before the irregularity was detected and show cause notice issued on 4.2.1998, the company had reversed the claim and remitted duty on 9.8.1997. Since the assessee voluntarily remitted the duty after reversing the irregular claim of modvat credit, the first appellate authority as well as the Tribunal found no justification to levy penalty. Even though counsel for the appellant contended that there is suppression of fact, we do not find any justification to interfere with the 2 order of the Tribunal. We, therefore, dispose of the R.C. by answering the question referred in favour of the respondent.. C.N.RAMACHANDRAN NAIR Judge T.R.RAMACHANDRAN NAIR pms Judge