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2013 (1) TMI 685 - CESTAT, NEW DELHIRecovery proceedings against a deceased assessee – Whether SCN issued against non-existent firm is valid in law - Death of sole proprietorship - Cancellation of Excise registration – Wrongly availed Cenvat credit in respect of the inputs not received in the factory – Held that:- Sole proprietorship concerned has no legal entity independent of its proprietor. On death of sole proprietor respondent company ceased to exist. Therefore notice issued was bad in law as it was issued against any non-existent firm. In favour of assessee Recovery from legal heir - legal heir of the deceased sole proprietor had undertaken to pay all the pending central excise liability of the firm – Held that:- As the SCN raising demand was issued almost three years after the undertaking on 2.4.2009. This imply that the dispute pertaining to the demand in question was raised much after the undertaking as such the demand which is subject matter of the SCN cannot be termed as pending as covered by the undertaking given by the legal heir. Therefore, demand confirmed on the basis of aforesaid SCN cannot be sustained. In favour of assessee
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