9911796707
TMI Blog2022 (4) TMI 730X X X X Extracts X X X X X X X X Extracts X X X X ..... l be verified by the petitioner. Therefore, in this case it cannot be treated that the documents sought for by the petitioner have not been furnished. Moreover, it has been made clear after investigation by the Revenue that, what is the exact raw material which they use and based on which their finished product requires such a raw material as an input claimed to have been purchased from the suppliers were required for manufacturing process itself was unearthed by the Revenue - this Court is of the considered view that, the case projected by the petitioner as if that the documents mainly relied upon by the Revenue, though had been sought for, have not been supplied to the petitioner is not factually correct and it is the case where most o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... manufacture of Spheroid Graphite (SG) Iron Castings and Grey Iron Castings falling under Chapter 73 of the First Schedule to the Central Excise Tariff Act, 1985. According to the respondent, based on the intelligence gathered during the audit of the petitioner's accounts it was found that the assessee procured CRCA Scrap for use in the manufacture of final products, but invoices on which CENVAT Credit was taken mentioned other than CRCA Scrap, an investigation was initiated against the assessee by the Headquarters Preventive Unit, to find out whether there was any misuse of CENVAT Credit by the Assessee. 3. It is the case of the respondents that, on scrutiny of the internal records of the assessee for receipt of their raw materials ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... their eligibility as input credit. 5. On this basis, the Revenue proceeded to conclude the proceedings and ultimately passed an order on 02.11.2021, whereby they confirmed the proposal for demand for recovery of CENVAT Credit of ₹ 1,00,16,369/- being ineligible CENVAT Credit during the period August 2012 to March 2016 in terms of Rule 14 of CENVAT Credit Rules, 2004 read with Section 11A(4) of the Central Excise Act, 1944. The Revenue also imposed a penalty of 100% ie., ₹ 1,00,16,369/- under Rule 15 of the CENVAT Credit Rules, 2004 read with Section 11Ac of the Central Excise Act, 1944. 6. Felt aggrieved over the said order dated 02.11.2021 passed by the Revenue, the petitioner has filed the present writ petition. 7. A ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... or the query raised in the SCN. 9. Learned counsel for the petitioner further contended that, in view of the said fact that, despite the asking of the petitioner for certain invoices during the year August 2012 to August 2013, which are going to be relied upon by the Revenue, and that was not supplied or copies of the same not given to the petitioner for verifying the same to put forth their case as defence to the show cause notice, the entire proceedings is vitiated. Therefore, on that ground, the petitioner can very well challenge the impugned order by filing the present writ petition instead of going before the appellate authority, she contended. 10. I have heard the learned counsel for the petitioner and have perused the documen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ner and if the petitioner wants to verify the same, they can verify the same with the copy of the invoices from their suppliers and moreover most of the documents required by the petitioner have been handed over to the petitioner assessee with their due acknowledgment on 03.02.2020. Therefore, the question of non-supply of documents in this case does not arise. 14. From the said assertion made by the Revenue, it could be concluded that, most of the documents have been given to the petitioner which has been acknowledged by the petitioner on 03.02.2020. 15. Insofar as certain invoices are concerned, normally that kind of invoices must be kept intact by the petitioner. But, for the reasons best known to the petitioner, it was the stand t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... al products. The definition of inputs in terms of Rule 2k of the Cenvat Credit Rules, 2004 specifically mentions that input excludes any goods which have no relationship whatsoever with the manufacture of a final product. Therefore, I hold that the credit of ₹ 1,00,16,369/- taken by M/s.JKM Ferrotech Ltd in contravention of Rule 3 of the Cenvat Credit Rules is liable to be recovered in terms of Rule 14 of the Cenvat Credit Rules 2004 read with Section 11A(4) of the Central Excise Act, 1944. 18. Having gone through these documents, this Court is of the considered view that, the case projected by the petitioner as if that the documents mainly relied upon by the Revenue, though had been sought for, have not been supplied to the peti ..... X X X X Extracts X X X X X X X X Extracts X X X X
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