9911796707
TMI Blog2017 (4) TMI 883X X X X Extracts X X X X X X X X Extracts X X X X ..... Sh. Prabhakar who was then, the Manager of the Karnataka Metal Company (KMC), investigations were conducted in the premises of appellant company also. Statement of the Director of the appellant company was recorded. From the investigation, a case was made out by the department, that appellant indulged in availing fraudulent CENVAT Credit on invoices issued by M/s KMC, the registered dealer and M/s Agarvanshi Aluminium Ltd., (AAL) a manufacturer without actually receiving the inputs. A show cause notice was issued raising the allegation of fraudulent availment of credit and proposing to recover duty of Rs. 1,49,952/- along with interest and also proposing to impose penalties. After due process of law, the original authority confirmed the dem ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the appellant company was recorded without showing any evidence which was gathered from the private residence of Sh. Prabhakar. That the Director has given the statement fearing the consequences of harassment. 4. The allegation is with regard to 3 invoices dated 15.11.2003, 19.01.2004 and 03.11.2004 for amounts of Rs. 73,974/-, Rs. 32,252/- and Rs. 43,726/- respectively. In the impugned order though the adjudication authority recorded his findings that the department has solely relied upon the statement made by Sh. Prabhakar, the adjudicating authority has made contradicting statements to confirm the demand. It is also pointed out by the Ld. Counsel that the department has failed to establish how the appellant has manufactured finished goo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of Sh. Prabhakar would establish the case of fraudulent availment of CENVAT credit. That the entries in the private note books along with the confessional statements which were not retracted will prove that the appellants have received invoice without actual receipt of inputs. 6. I have heard the submissions made before me. As rightly pointed by the Ld. Counsel for appellant, the Tribunal in several cases filed by department as well as assessee has analysed the evidence un-earthed during the search conducted in the residential premises of Sh. Prabhakar and put forward on the basis of entries in such note books maintained by Sh. Prabhakar. The officers of the department have conducted search in the premises of various assesses engaged in m ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... .Thus the entries do not reflect any connection with the appellant. Again the appellants have purchased major raw material from KMC. The allegation raised now is that appellants did not receive the goods, but received only invoices. If so, in the absence of evidence to prove that appellants have procured raw material from local market, the production of finished goods and cleared by paying duty cannot be explained. Even though it is alleged that the description of goods in job work challan varies from that of the invoices, the job workers to whom goods were given for job work were not examined. Even though the vehicle numbers were reflected in the invoices the department has not examined the drivers, who are material witnesses to prove that ..... X X X X Extracts X X X X X X X X Extracts X X X X
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