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TMI Blog2018 (11) TMI 973X X X X Extracts X X X X X X X X Extracts X X X X ..... under chapter 74 of the Central Excise Tariff Act, 1985. The appellant was procuring the raw material i.e. copper ingots from one M/s.V.K.Metals, Jammu on the basis of the invoices issued by them and was availing the benefit of Cenvat credit of duty paid on the same. 2. It is seen that the premises of M/s.V.K.Metals, Jammu was searched by the officers of DGCEI, New Delhi on 29.11.2006 and various investigations were made. Inasmuch as M/s.V.K.Metals was availing the Area Based Exemptoin Notification No.56/2002-CE dated 14.11.2002, the duty of excise paid by them was being refunded to them in terms of the said Notification. However, the duty paid by them was available as Cenvat credit to the purchaser of the said goods, who were further usin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the assessee. The statement of Shri Rajender Ahuja was to the effect that he has no knowledge about the information contained in the said pages and the remaining pages are in relation to job work challan, journal register, sales register and cash book of the company etc. which can be explained by Shri Vinod Goel, who headed the accounts branch of the company. He also explained the figures in respect of finished goods, raw materials and job-work done by them and established that the same were tallying with the figures shown against these items in the statutory books. Statement of Shri Vinod Goel, Manager Accounts was also recorded wherein he deposed that page NO.1-4 were related to the tentative estimate wherein actual expenses as well a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o the extent of Rs. 17,53,026/- availed by the appellant on the basis of the invoices issued by M/s.V.K.Metals, Jammu, we note that proceedings were also initiated against M/s.V.K.Metals for denial of benefit of Notification No.56/2002-CE on the allegations that no manufacturing process was being undertaken by them and the clearance of copper ingots were under the bogus invoices. The proceedings initiated against them resulted in passing of orders by the lower authorities, upholding the allegations. However, on appeal Tribunal vide its Final Order No.51982-51997/2018 dated 23.05.2018, after appreciating the entire evidence against M/s.V.K.Metals dropped the allegations and findings against them and held that M/s.V.K.Metals did not contraven ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... have contended that the conditions of section 36B of the Central Excise Act, 1944 are not satisfied so as to uphold the evidentiary value of such print outs. Otherwise also it stands contended that the appellant's representative have explained that the entries in question do not belong to their manufacturing and clearing activities. The computer in question was repaired on 12.02.2010 by M/s.K.G. Software & Services, who conducted extensive repairs on the same including formatting and re-loading of software. By referring to various decisions of the Tribunal it stands contended before us that in the absence of any other evidence corroborating the allegation the clandestine removal allegations cannot be upheld on the basis of only the computer ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ngs stands set aside by the Tribunal by observing that there has to be shown the receipt of raw material, utilization of the same, actual manufacture of the finished goods, the evidence of transportation and identity of the buyers etc.. Inasmuch as nothing has been shown in the present case by the Revenue, we find no reasons to confirm the demand. Accordingly the demand of Rs. 19,88,803/- along with interest and imposition of penalty is set aside. 9. Inasmuch as the confirmation of demand against M/s.Rachna Metals stands set aside along with setting aside of penalty, we set aside the penalty imposed against Shri Rajender Ahuja also. In a nutshell both the appeals are allowed with consequential relief to the appellants. Misc. also disposed ..... X X X X Extracts X X X X X X X X Extracts X X X X
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