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2011 (3) TMI 1127 - AT - Central ExciseCenvat credit reversal - Appellant was not having a factory at the address shown in ER-1 return after 2.11.2004 was detected by the department on 25-05-2005 during a surprise visit - Held that:- Manufacturer operated from a factory not in existence at the relevant time, took cenvat credit, filed ER-1 return showing the address of such factory and claimed during investigation that he got the goods manufactured in an un-registered unit so the credit availed and passed on to the next stage of manufacture is basically fraudulent - It would have been desirable if the SCN detailed how much duty was paid through cash and how much duty was paid through the fraudulent credit - But this aspect does not strike at the root of the SCN because if any part of the duty has been paid through cash and that has been passed on to the next stage, it is not a matter of concern for the revenue - Further the violations of rules pointed out in the SCN are good enough reasons to deny the credit availed and passed on to the next stage through invoices issued from a factory which was not in existence - Decided against the assessee.
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