9911796707
TMI Blog2002 (9) TMI 481X X X X Extracts X X X X X X X X Extracts X X X X ..... of stock-taking, the officers found that 11,061 Kgs. of Virgin LDPE/HDPE granules, on which they had availed the Modvat credit were short when compared to the recorded balance in the RG 23A Part-I register. They also found that an identical quantity of non-duty-paid re generated granules were lying in the factory, but the same were not recorded in the Form-IV register. From the above the officers believed that the appellants have availed the Modvat credit in respect of Virgin HDPE granules and have replaced the same with re-generated granules. Accordingly they were issued a show cause notice proposing confiscation of the excess found goods and to deny the benefit of Modvat credit of Rs. 87,217/- (Rupees eighty seven thousand two hundred an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of granules on which they had availed the credit or after receiving they have replaced the same with the second class quality. Similarly he submits that there were no shortages or excesses, as alleged by the Revenue. At the time of visit of the officers 11,061 Kgs. of granules on which they had taken the credit were lying in the factory premises, which the Revenue has alleged were re-generated granules. The appellants contention is that they were nothing but processed HDPE granules and were prepared master-batch of black colour which is used by them in the manufacture of HDPE pipes of black colour. Shri Das submits that no samples were drawn by the Revenue and virtually no evidence is on record that the granules were re-generated and the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... have procured the re-generated granules from any other sources. In these circumstances I intend to give benefit to the appellant. 5. As regards the denial of benefit of Modvat credit of Rs. 5,64, 007/- availed by the appellant in respect of 68,939 MT of HDPE granules it is seen that the Commissioner has observed that :- 13. On examining the facts of the case, I find that there was a clear allegation on the basis of scrutiny of documents that the noticee procured on 68.939 M.T. of prime quality of HDPE granules by way of importation and transport papers indicate that they were transported from Kolkata to Bilaspur. But no documents has been produced by the noticee to indicate the due receipt of the said goods in the factory. In fact, in ..... X X X X Extracts X X X X X X X X Extracts X X X X
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