2022 (8) TMI 1450 - AT - Central Excise

CENVAT Credit - denial on the grounds that the same was availed on the basis of fake and fictitious invoices issued by non-existent units - recovery of refunded rebate amount - submissions not discussed separately - violation of principles of natural justice - HELD THAT - In the present matters Ld. Commissioner has passed the impugned common orders on the basis of common findings without discussing the submission separately of each Appellant and their involvement. Therefore the entire matter needs to be reconsidered by the adjudicating authority. Appeal allowed by way of remand, directing the Adjudicating authority to decide the matter afresh and pass the order accordingly.

Summary

Issues:
Appeal against denial of Cenvat credit based on fake invoices and involvement of non-existent units.

Analysis:
The appellants filed appeals against a common order denying Cenvat credit due to fake and fictitious invoices from non-existent units. The Commissioner passed the orders without discussing each appellant's submission separately, leading to a lack of clarity on individual involvement. The Member (Judicial) observed the need for a reconsideration of the entire matter by the adjudicating authority.

Upon hearing both sides and examining the appeal records, the Member (Judicial) noted the common findings in the impugned orders and the lack of individual assessment of each appellant's case. Consequently, the Member (Judicial) allowed the appeals by remanding the matter back to the adjudicating authority for a fresh decision based on individual considerations and specific involvement of each appellant.

The Member (Judicial) emphasized the importance of expeditiously concluding the adjudication proceedings, setting a preferred timeline of 3 months from the date of the order for the resolution of the matter. The decision was pronounced in open court on 17.08.2022, ensuring transparency in the process and providing a clear direction for the further adjudication of the appeals.