2005 (5) TMI 66 - AT - Central Excise

If there was any mistake in payment of duty by the supplier, the issue should have been raised at the suppliers end and not at the appellants as they had taken the Cenvat credit on the basis of the invoice issued by the supplier. Accordingly, the Cenvat credit taken on the basis of specified duty-paying document is not disallowable.

Summary

The Appellate Tribunal CESTAT, New Delhi allowed the appeal of M/s. Parasrampuria Synthetics Ltd., stating that disallowing Cenvat credit due to supplier's duty payment mistake is not justified. The appeal was allowed, and recovery of duty was stayed.