9911796707
TMI Blog2004 (9) TMI 469X X X X Extracts X X X X X X X X Extracts X X X X ..... 2,649/- on these goods to the respondents by holding that same were never used in the manufacture of OE parts by them during the period January 1995 to December, 1998. The Commissioner (Appeals) has reversed the order-in-original of the adjudicating authority and allowed the Modvat credit by holding that the allegations of the Revenue regarding the non-utilisation of these goods by the respondents in the manufacture of O.E. parts and disposal of the same in a clandestine manner in the grey market did not stand proved. 3. The learned SDR has contended that the utilization of the GP sheets by the respondents as inputs in the manufacture of OE parts does not stand proved and as such, no Modvat credit could be availed by them in respect there ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s and thereby wrongly availed higher Modvat credit on file GP sheets. But in our view, there is no tangible evidence to substantiate these allegations against the respondents. The general opinion through letters supplied by the O.E. manufacturers named above to the department was that they supplied the specification of the raw materials to their vendors including the present respondents, to be used by them in the manufacture of motor vehicle parts to be supplied to them and that the main raw material specified was HR/CR sheets, but that could not lead to an irresistible conclusion that O.E. parts supplied to them were manufactured only from CR/HR sheets and not from GP sheets by the respondents. No mechanical test was carried out by any of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , 1998 through the show cause notice dated 4-4-2000 for want of any evidence to prove the suppression of any material facts by the respondents from the Department. The respondents, as observed above, had been submitting the invoices for defacement and filing the RT 12 returns regularly which were assessed by the department without any objection. The Department was in full knowledge of the fact regarding the purchase of GP sheets by the respondents under duty paid invoices for utilization of the same in the manufacture of O.E. parts. Under these circumstances, the extended period could not be invoked, in view of the ratio of law laid down in Ganges Soap Works Pvt. Ltd. v. CCE [2002 (146) E.L.T. 470] by the Tribunal which has been upheld by t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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