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2019 (5) TMI 1628 - CESTAT NEW DELHICENVAT Credit - fake documents - credit availed without accompanied goods - Rule 4(1) of Cenvat Credit Rules, 2004 - cross-examination of witnesses denied - HELD THAT:- Department has made out a case of irregular availment of cenvat credit mainly based on the statement of Shri Amit Gupta and transporters, but no cross examination of the witnesses was provided to the appellants. One of the witnesses has retracted his earlier statement. Surprisingly, in the instant case, no inquiry was made from the customers of the appellant company. All the transactions related to inputs purchased was duly recorded in the book of accounts and inventory records. The appellant have purchased the goods from the registered dealer. When it is so, then it is expected by the department to make a inquiry about the genuineness of the supplier. Ultimately, the issue in each case is whether, within the meaning of Rule 9 (3) of the Rules of 2004, the assessee has taken reasonable steps to ensure that the inputs in respect of which he has taken CENVAT credit were goods on which appropriate duty of excise was paid. Once it is demonstrated that reasonable steps had been taken, which is a question of fact in each case, it would be contrary to the Rules to cast an impossible or impractical burden on the assessee. Appeal allowed - decided in favor of appellant.
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