TMI Blog2010 (6) TMI 438X X X X Extracts X X X X X X X X Extracts X X X X ..... han one job worker. Then deemed credit would be availed by the first job worker and he would reverse deemed credit of 2/3 and pay balance from PLA and second job worker who does further processing would do the same and sent to merchant manufacturer - department has to make a choice between the three persons who will be equally liable - merchant manufacturer has already paid full amount of duty received by them as rebate to the department, the duty demand or demand for cenvat credit from other would amount to recovery of the same amount twice by the Revenue, which is not legal and cannot be permitted - demand for cenvat credit cannot be sustained and set aside - E/1310/2009 - A/741/2010-WZB/AHD - Dated:- 11-6-2010 - Shri B.S.V. Murthy, Me ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t considering the other grounds raised by the learned Chartered Accountant. Even though the department is proposing to deny cenvat credit in this case in reality it is nothing but a part of the payment of final duty. What was paid by the appellant in PLA and which was deemed credit sanctioned as rebate has been recovered from M/s. Anchal. Therefore, denial of cenvat credit cannot be considered as denial of cenvat credit alone but has to be looked into taking into account all the aspects into consideration. Another relevant factor which was stressed by the learned Chartered Accountant was that in this case the credit availed was only on deemed basis. There was no requirement of payment of duty by the supplier, where as the duty paid by the a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ould still submit that penalty is imposable in view of the fact that appellant has violated the provisions of Central Excise law by availing cenvat credit without receiving any goods and making only transactions on paper. The whole case of the Revenue is based on the statements of suppliers. Further, in show cause notice it has been stated that summons were issued to five firms which issued challans and it was found that address found incomplete or addressee not found or in some cases suppliers address was not known. In these circumstances the case of the Revenue is based on non existence of suppliers and the statement of merchant manufacturer. Unlike subsequent period when credit taken was of duty paid, in this case the credit taken was de ..... X X X X Extracts X X X X X X X X Extracts X X X X
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