2012 (3) TMI 250 - AT - Central Excise

Direction given to the Commissioner to verify the correctness of the invoices on the basis of which the cenvat amounting to Rs. 1.11 crores have been taken by the appellant - verification report placed on record stating that all the documents have been checked and verified except original invoices involving cenvat credit of Rs. 92445/- could not be produced by the appellant - appellant pleaded that in respect of these documents the original duty paying documents are now available and can be provided - the verification report also mentioned that cenvat credit of Rs. 2050607/- has been availed on the basis of Advise of Transfer for Debit (ATDs) issued by Central Telecom Store Depot (CTSD) which procures the material and passes on the cenvat credit to various units along with the material supplied - Held that - the impugned order is set aside and the matter is remanded to the Commissioner giving opportunity of personal hearing to the Appellant in course of which they can produce the documents in support of their claim for balance amount of cenvat credit.

Summary

Issues:
1. Verification of correctness of invoices for cenvat credit.
2. Availability of original duty paying documents.
3. Allowance of cenvat credit based on ATDs issued by CTSD.
4. Decision on remand to the Commissioner for denovo adjudication.

Analysis:
1. The judgment addresses the issue of verifying the correctness of invoices for cenvat credit amounting to Rs. 1.11 crores. A stay order was issued for this purpose, directing the Commissioner to conduct the necessary verification. The Commissioner completed the verification and submitted a report stating that all documents supporting the cenvat credit had been checked, except for original invoices totaling Rs. 92445/-, which were not produced initially. The appellant assured the availability of these missing documents for submission.

2. The second issue pertains to the availability of original duty paying documents. The verification report highlighted that cenvat credit of Rs. 2050607/- was availed based on Advise of Transfer for Debit (ATDs) issued by CTSD. The appellant argued that the Tribunal had previously ruled in favor of allowing cenvat credit based on such ATDs, citing a specific case precedent. Therefore, the matter of cenvat credit taken on the basis of ATDs amounting to Rs. 20,50,607/- needs to be decided considering the Tribunal's previous judgment and upon the production of duty paying documents.

3. Consequently, the judgment sets aside the impugned order and remands the matter to the Commissioner for denovo adjudication. The Commissioner is directed to re-examine the case based on the previous directives and provide the appellant with an opportunity for a personal hearing to present the necessary documents supporting their claim for the remaining cenvat credit amount. The decision is made in open court and pronounced accordingly.