[Civil Appeal Nos. 4189-4196 of 2010]. The assessee utilizes cenvat duty paid Low Sulphur Heavy Stock (for short LSHS) as fuel input for generating steam. The steam so generated is utilized to generate electricity for the manufacture of fertilizer which is exempt from excise duty. According to the assessee, it is entitled to claim cenvat credit on the input, that is, LSHS even though fertilizer is exempt from excise duty. The correctness of this view was disputed by the Revenue. Consequently, the Commissioner, Central Excise & Customs, Vadodara-II(hereinafter referred to as 'the Commissioner') issued two notices to the assessee to show cause why cenvat credit wrongly availed by it should not be recovered under Rule 12 of the Cenvat Credit Rules, 2002 (here in after referred to as Rules) read with Section 11A of the Central Excise Act,1944. The assessee was also required to show cause why interest be not recovered on the wrongly availed cenvat credit and why penalty be not imposed on it. The first show cause notice issued to the assessee was dated 8thMarch 2004 and pertained to the period 31st March 2003 to September 2003while the second show cause notice was dated 28th July 2004 and was for the period October 2003 to March 2004.
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