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2018 (2) TMI 282 - AT - Central ExciseCENVAT credit - Clandestine removal - the case of the Revenue is that the main appellant stated to be manufacturing PVC Compound and Master Batches showing more production of PVC Compound and Master Batches, whereas study of consumption of power supplied by NDPL and Generators installed in their factory would reveal that the main appellant actually manufactured less quantity of PVC Compound and Master Batches - issue of invoices without the issue of goods - It was also alleged that the main appellant had not used the said resin in their final product and diverted to the manufacturer of Battery Separator, who are SSI Units and the main appellant availed Cenvat Credit thereon - Held that: - this Tribunal already decided the case in respect of other customer, namely M/s Paramount Communication Ltd., [2018 (1) TMI 350 - CESTAT NEW DELHI] located outside Delhi-I jurisdiction, where the main appellant issued the invoices. In that case, the Tribunal has taken a consistent view that Cenvat Credit cannot be denied merely on the basis of statements, which are un-corroborative in nature. The case of the Revenue is that the buyers made payment of the cheques and the main appellant returned cash after deducting 2-3% commission. The Investigating officer had not made any attempt to examine the Bank Account. No cash was recovered at any place, as the matter involved huge amount of cash - The Tribunal in the case of Aum Aluminium Private Limited Vs. Commissioner of Central Excise, Vadodara [2012 (4) TMI 557 - CESTAT AHMEDABAD] observed that un-accounted sales proceeds in substantial cash from factory or office premises or anywhere else in direct control of the assessee are not recovered and therefore, the charge of clandestine removal of goods cannot be sustained. The appellant cleared the goods on payment of Central Excise duty and also paid VAT/CST. The entire transaction is duly recorded in the books of accounts which were duly audited. Such documents and records cannot be brushed aside merely on the basis of various statements of the transporter, some buyers etc., unless such statements are based on records. In the present case, there is no verification of records maintained by the main appellant and the others. Thus, the denial of credit and imposition of penalties cannot be sustained. Appeal allowed - decided in favor of appellant.
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