TMI Blog2017 (5) TMI 1285X X X X Extracts X X X X X X X X Extracts X X X X ..... ents. 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 - credit allowed - appeal allowed - decided in favor of appellant. - E/3436/2010-EX[SM] - Final Order No. 70454/2017 - Dated:- 16-2-2017 - Mr. Anil Choudhary, Member (Judicial) Shri Bipin Garg, Advocate for the Appellant (s) Shri S.K. Singh, Deputy Commr. (AR) for the Department (s) ORDER Per Mr. Anil Choudhary : The appellant, M/s Shri Rathi Steel Ltd., is manufacturer of Bars and Rods of Iron and Steel, is in appeal against denial of Cenvat Credit on inputs purchased from first/second stage dealers on the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y to the show-cause-notice, as noticed by the Additional Commissioner in the Order-in-Original, produced further evidence that the raw materials or inputs were received at their factory and proper entry made in the raw material register and RG-23A part-1 register, form 31 (road permit) issued by U.P. Sales Tax Department, which is the pre-authenticated document, have been used for transport of the goods to their factory. Similarly, form 48 under the West Bengal Sales Tax Act and Rules was also issued by the supplier, which is a pre-authenticated document and Road permit for transport. Further, the consignments in the course of transport have been checked by the Sales Tax Authority on the border check post, as is evident from the endorsement ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d being denial of Cenvat Credit on the inputs alleged to have been not received and the said amount was further appropriated from the deposit already made with interest, and further equal amount of penalty was imposed under Section 11 AC of the Act read with Rule 15 of CCR, 2004. Further penalty of ₹ 10 lakhs was imposed on Sunil Kumar Gupta, proprietor of M.K. Steel and Shree Hanuman Trading Company. 3. Being aggrieved, the appellant preferred appeal before Learned Commissioner (Appeals) who vide the impugned order have been pleased to reject the appeal confirming the demand as well as the invocation of extended period, as well as also confirmed the penalty imposed. 4. Being aggrieved, the appellant is before this Tribunal. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... under Rule 9(3) of the said Rules provides a deeming fiction where a manufacturer or producer of excisable goods who takes Cenvat Credit on inputs, would be deemed to have taken reasonable steps, if they satisfy themselves about the identity and address of the manufacturer or supplier or provider of input or services, as the case may be, issuing the documents specified in sub-rule (1) on the basis of his knowledge or on the basis of a certificate given by a person with whom he is familiar or on the basis of a certificate issued to the manufacturer or the supplier by the Superintendent of Central Excise concerned. In other words, the explanation to Rule 9(3) provides a deeming definition as to when manufacturer or a purchaser of excisable ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... first stage dealers. The learned counsel also relies on a coordinate bench ruling of this Tribunal in the case of Commissioner of Customs Central Excise, Kanpur Vs. R.H.L. Profiles Private Ltd. reported at 2013(292) E.L.T. 313 wherein, under similar facts and circumstances where the assessee had purchased inputs from Shree Hanuman Trading Company, this tribunal had held that the assessee have taken all reasonable steps as required of him or them under Rule 9(3) of CCR, 2004 and such credit was rightly taken. Accordingly, the learned counsel prays for allowing the appeal with consequential benefits. 5. The learned AR for Revenue relies on the impugned order. He further relies on the statement of Shri S.K. Gupta, common proprietor of M. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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