ORDER
S.S. Kang, Vice-President
1. Heard both sides. Applicants filed this application for waiver of pre-deposit of duty demand of Rs. 11,40,037/-. In this case, Cenvat credit is denied on the ground that credit was taken in respect of the differential duty paid by the supplier of inputs and subsequently, the demand for differential duty paid by the supplier of inputs was set aside by the Commissioner (Appeals).
2. The contention of the appellant is that they had taken credit on the strength of invoice issued by the supplier of inputs who has paid differential duty. Their submission is that now the demand has been set aside by the Commissioner (Appeals) against the supplier of inputs and the amount is with the Revenue and supplier of inputs will not get any refund as the duty has already been collected. Therefore, as differential duty has already been paid, the applicants are entitled for the credit. In these circumstances, prima facie, we find that applicants have a strong case in their favour Pre-deposit of the whole amount of duty for hearing of the appeal is waived. Adjourned to 30th June, 2005 for arguments.