TMI Blog2003 (4) TMI 491X X X X Extracts X X X X X X X X Extracts X X X X ..... king machines and plants. During the relevant period, the respondent was availing modvat credit of duty paid on raw materials received by them. 3. In March, 1996, the respondent was informed by the Officers of the Directorate General of Anti Evasion, Calcutta Zonal Unit (in short DGAE) that they have found various irregularities in the invoices of M/s. Calcutta Trades Corporation (in short CTC) and that pending the investigations the entire modvat credit availed by the respondent on the basis of the invoices of the said party would have to be reversed. As required by the said Officers, the respondent prepared a list of the raw materials purchased from the said party and the total modvat credit availed thereon. As required by the said Offi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l Excise vide his order dated 30-6-99 held that the respondent had taken modvat credit on the basis of the said invoices of CTC without receiving the corresponding inputs and accordingly directed the respondents pay back the modvat credit availed irregularly. 100% penalty was also levied. 7. Against the said order of the Additional Commissioner, the respondent filed an appeal before the Commissioner (Appeals) who relying upon the earlier order of the Tribunal vide which the proceedings initiated against M/s. Calcutta Trades Corporation (M/s. CTC), were set aside and allowed the appeal filed by the respondents. Hence the present appeal by the Revenue. 8. We have considered the submissions made from both the sides duly represented by Sh ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sultant. The appeals of the dealers who are penalised on the finding of having issued the modvatable invoices without corresponding supply of the raw materials, have been allowed by the Tribunal. The respondents are only beneficiaries of the said invoices issued by the dealers which have been held to be proper modvatable invoices for the purposes of availing of the modvat credit. As such, we find that the appeals of the Revenue are liable to be rejected on this short ground itself. We order accordingly. 10. On the other hand, the Revenue has relied upon the Tribunal s decision in the case of CCE v. Prem Cables Pvt. Ltd. reported in 1998 (74) ECR 550 upholding the Department s view for denial of modvat credit without receiving the inputs. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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