9911796707
TMI Blog2013 (10) TMI 496X X X X Extracts X X X X X X X X Extracts X X X X ..... Company, (as first stage dealer) were engaged in passing of inadmissible Cenvat Credit to various manufacturers/dealers by issuing invoices, without actually sending the duty paid goods shown as manufactured by M/s. Khemka Ispat Ltd. in the said invoices. Mr. K.P. Khemka, director of M/s. Khemka Ispat Ltd. And Shri Rupesh Bansal, Proprietor of M/s Bhagwati Trading Company (first stage dealer) admitted these facts in their statements recorded under Section 14 of the Central Excise Act, Total 15 invoices were issued by M/s Bhagwati Trading Company involving the Cenvat Credit of Rs. 7,12,136/- to M/s. Anurag Alloys & Die Cast (P) Ltd. and Jagdamba Metal Store was one of the second stage dealer who availed the inadmissible the Cenvat Credit on ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... gation that Vehicle No, used for transportation of goods was actually not used by them. He submits that since they have received the material against all of those bills against which the Cenvat Credit was availed by them, there is no case for revenue to demand the Cenvat Credit. He submits that the appellants regularly submitted monthly returns and since there is no suppression of facts no penalty is imposable on them. 4. In respect of M/s Jagdamba Metal Store that is second stage dealer he submits that appellant nowhere admitted that invoices were issued by them without physical supply of goods. He submits that no specific rule has been invoked in the Show Cause Notice proposing the penalty against the appellant in absence of which the pe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Trading Company are first stage dealer and issue the cenvatable invoices to the manufactures of the goods and the second stage dealers. In the present case M/s Bhagwati Trading Company issued invoices to M/s. Anurag Alloys & Die Cast (P) Ltd. These invoices showed the goods manufactured by M/s. Khemka Ispat Ltd. Shri. K.P. Khemka director of M/s. Khemka Ispat Ltd. in his dated 24.02.2007 has admitted that no goods were supplied by him in respect of these invoices which means that the cenvatable invoices on which the Cenvat Credit has been taken by M/s Anurag Alloys & Die Cast (P) Ltd., and which referred the name of manufacturer of goods M/s. Khemka Ispat Ltd. were not the genuine invoices as no goods manufactured by the manufacturer were ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ule 15 of the Cenvat Credit rule read under Section 11 AC Central Excise Act and there is no reason to interfere with this finding of the Commissioner (Appeal) in upholding penalty equal to inadmissible Cenvat Credit amount. For the same reasons there is no ground for interfering penalty imposed on M/s Jagdamba Metal Store also. In view of the above, I uphold the Order-in-Appeal and reject appeals filed by M/s Jagdamba Metal Store and M/s Anurag Alloys & Die Cast (P) Ltd. 10. Ld. Advocate has relied upon the decision of the Tribunal of their contention that no penalty is imposable on the appellants. I find in respect of cases of clandestine removal goods or availment of Cenvat Credit based on inadmissible cenvatable invoices without supply ..... X X X X Extracts X X X X X X X X Extracts X X X X
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