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TMI Blog2018 (4) TMI 890X X X X Extracts X X X X X X X X Extracts X X X X ..... e same on payment of duty. Penalties - Held that: - there is no case made out of any contumacious conduct or suppression of records. More so, there is absence of allegation for source of copper bars - penalties set aside. Appeal allowed in part. - Excise Appeals No. 3900-3901 of 2012 (SM) - Final Order No. 58799-58800/2017 - Dated:- 30-11-2017 - Shri Anil Choudhary, Member (Judicial) Shri S.S. Dabas, Advocate for the appellant. Shri G.R. Singh, Authorized Representative (DR) for the Respondent. ORDER Per. Anil Choudhary : The issue in these appeals by the appellant/manufacturer and Shri Sidharth Goel, Partner of the appellant manufacturing firm is whether Cenvat credit have been rightly denied to them ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... notice that in the course of enquiry by the Revenue in the facts of V.K. Metals Works it was found that they have actually not manufactured the copper ingots and have only manipulated their books of accounts and documents, have shown fact purchase and scrap etc. and thereafter by creating the records manufactured have issued cenvetable invoices without actually clearing any excisable goods. The said V.K. Metals Works, Jammu was admittedly registered with the Central Excise Department. He is also stated in the show cause notice that further enquiry made in the matter of supply of scrap in V.K. Metal Works, Jammu it appeared that the scrap dealers also did not actually supply the scrap and only issued document/invoice of supply. Upon such fa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ain the correct position as to whether goods received by them or not. The proposed demand was confirmed observing the above-mentioned facts and further observing that the partner of the firm Shri Sidharth Goel have admitted during the course of inspection in the statement under Section 14 that the credit taken might have being defective. Further, the reversal of credit taken by the Revenue as admission and accordingly the proposed disallowance Cenvat credit was confirmed alongwith equivalent amount of penalty. Further, penalty of ₹ 10,000/- was imposed under Rule 10 on Shri Sidharth Goel, Partner of the appellant firm. Penalty also imposed ₹ 20,000/- on first stage dealer M/s Rachna Metal Industries. 4. Being aggrieved, appel ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he finding of the impugned order and he also relied on the ruling of Hon ble Delhi High Court in N.C. Cables Ltd. vs. CCE, Delhi I 2015 (316) E.L.T. 452 (Del.). The facts of N.C. Cables upon investigation with respect to weighment of Cenvat credit it was found that one father and son had floated 4 units. The Department found that 2 of the units/firms namely Geeta Metal Industries and Ajate Metal Industries were not registered with the Department and it was bogus firms, hence, in respect of surprise received revenue from them no adverse records were found. The other two firms were only Modvat documents in respect of copper bars, but no copper bars received by them for conversion into rods. These copper bars are sold in open market with ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ition on the assessee is contrary of the Act Rules. Accordingly, Hon 'ble High Court allowed credit as allowed by this Tribunal. In the present case, although the facts are somewhat similar, but the partner of the appellant have by statement, created the doubt of the receipt of the copper ingots with the cenvetable invoices. Further, I find that there is no retraction. Nor there is any whisper in the reply to the show cause notice, that under undue influence/ coercion, he had to admit before the officers in his statement, as afore-mentioned wherein he stated the purchase were being looked after by the staff and it might be that only invoice was received and not goods. I also find that there is no allegation by Revenue that the app ..... X X X X Extracts X X X X X X X X Extracts X X X X
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