9911796707
TMI Blog2017 (11) TMI 473X X X X Extracts X X X X X X X X Extracts X X X X ..... Based on certain verification of the records maintained by the appellant, the Revenue entertained a view that during the period April, 2007 to Feb. 2012, the appellants have availed cenvat credit on pig iron, which appeared to have been not received and used for the intended purposes of manufacture of final products. The case of the Revenue is that as per the standard norms and industry practice, there appears to be substantial excess consumption (and credit) accounted in respect of pig iron resulting in lesser payment of central excise duty in cash on the final product during the material period. After obtaining the opinion from National Institute of Technology, Raipur regarding the standards of manufacture and based on certain verificatio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... not revealed. In fact, the very same Technical Authority from NIT conducted a physical test in the appellant's unit and made a detailed report about the quantum of inputs used in the process of manufacture and the quantum of output generated. The said report was discarded by the Original Authority without any valid reasons. The preference given to a general opinion is not at all sustainable when there is an actual physical test conducted in the factory of the appellant. (d) Regarding the transport of pig iron inputs by the appellant in their own lorry, it is submitted that they have all the supporting evidences to show that the expenditure incurred, including for fuel, for using the lorry. (e) The appellants maintained all the statutory ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ollow-up inquiry. They have written to the Director, NIT, Raipur for technical opinion on 9.7.2009. The reference to NIT by the Commissioner raised certain queries regarding the usage of pig iron in the manufacture of cast iron ingots. The material yield of 85% as recorded by the appellant was sought to be clarified as normal or not. The queries raised by the Commissioner was replied by the Head of the Department of Metallurgical Engineering, NIT, Raipur. The said opinion stated that mould yield in Cupola furnace depends on parameters like iron to coke ratio. The opinion by NIT referred to normal practice in Cupola Industry indicating the range of percentage or raw material and cast iron production. We note that the proceedings against the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... expert's study report of the very same authority conducted in the premises of the appellant. The reasons for the same has also not been recorded. We also note that the basis of the earlier opinion given by NIT should have been made available to the appellant along with supporting references etc., which formed basis of such opinion. 9. Regarding the other evidences with reference to manufacturing process in M/s. Bhawani Moulders Pvt Ltd. and usage of the appellants own lorry for movement of the pig iron, we note that the defence of the appellant with supporting documents have not been duly analyzed for a proper finding by the Original Authority. In fact, regarding the maintenance, expenditure and usage of the own vehicle, ld. Counsel submit ..... X X X X Extracts X X X X X X X X Extracts X X X X
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