Custom, Excise & Service Tax Tribunal
Metso Minerals (I) Pvt. Limited vs C.C.E. ,Ahmedabad on 14 August, 2017
CUSTOMS EXCISE & SERVICE TAX APPELLATE TRIBUNAL, West Zonal Bench, 2nd Floor, Bahumali Bhavan, Asarwa, Ahmedabad Central Excise Appeal No.10988 of 2015 -SM Arising out of the Order-in-Appeal No.AHM/EXCUS/001/APP/ 113 14-15 dated 6.4.2015 passed by the Commissioner (Appeals I), Central Excise, Ahmedabad. Metso Minerals (I) Pvt. Limited. .. Appellant Vs. C.C.E. ,Ahmedabad .. Respondent
Appearance:
Present Shri N.K.Oza, Advocate for the appellant
Present Shri L. Patra, A.R. for the Respondent-Revenue
Coram: Honble Dr. D.M. Misra, Member (Judicial)
Date of hearing/decision:14.8.2017
Final Order No.A/11797/2017
Per Dr. D.M. Misra:
Heard both sides.
2. The short issue involved in the present appeal is: whether the appellants are eligible to avail CENVAT credit on the invoices issued by the registered dealer M/s Pragati Enterprises. The demand notice was issued to the appellant on the ground that they have availed inadmissible credit of Rs.3,36,882/- during the period 2010-11 to 2011-12 alleging that M/s Pragati Enterprises procured the goods from unregistered dealer. The contention of the ld. Advocate for the appellant is that they have taken reasonable precaution in procuring the material from M/s Pragati Enterprises inasmuch as the payment was made through cheques and the materials were received by them in the factory and utilized in the manufacture of finished goods. Also, in the invoices issued by Pragati Enterprises it was reflected as first stage dealers invoices mentioning the name of the manufacturer from where they procured the goods. It is his contention that in view of the judgment of the Honble Allahabad High Court in the case of C.C.E. & S.T. vs. Juhi Alloys Ltd. 2014 (302) ELT 487, credit cannot be denied to them.
3. Ld. A.R. for the Respondent-Revenue reiterates the findings of the ld. Commissioner (Appeals).
4. I find that the ratio laid down by the Honble Allahabad High Court in the case of Juhi Alloys Ltd. (supra) is applicable in the present case. Accordingly,the impugned order is set aside and the appeal is allowed to the extent of confirming recovery of credit and penalty on M/s Metso Minerals (I) Ltd. Appeal allowed.
(Dr. D.M. Misra) Member (Judicial scd/ E/10988/2015-SM 1