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2016 (10) TMI 1156 - AT - Central ExciseCENVAT credit - It is the grievance of the appellant that the Tribunal’s order and directions have not been implemented and the same demand have been repeated again by the impugned order, even after complete verification of facts and details having been made by the Assistant Commissioner in his verification report, which has accepted the appellant’s pleas and submissions as well as records and documents as correct, but still the respondent has chosen to confirm the entire demand again - Held that: - the entire case of the revenue confirming the impugned demand by denying Cenvat Credit is unsustainable, both on facts and in law. Nothing is brought on record by the revenue to prove that the assessee did not receive duty paid inputs and/or it did not utilise the same for manufacture of finished excisable goods cleared on payment of duty. The existence of commercial arrangement between the appellant and JMCIPL is only to carry out the commercial activities for the purpose of business of the company in the light of the need for financing control, sales, marketing and allied activities to run the business and in no way, does it disentitle the manufacturer of excisable goods i.e. ICI India Limited (presently Akzo Nobel Ltd.) to Cenvat Credit of the duty paid on inputs and capital goods. The law is well settled that the revenue cannot pass orders arbitrarily and cannot deny the credit or raise demand merely based on assumptions and presumptions. When facts on records are verified and found to be contrary to the allegations made in the notice, the demand as per notice cannot be confirmed again. Appeal allowed - decided in favor of appellant.
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