MODVAT credit on gate passes upheld only for original duty-payment documents; certified copies were rejected as insufficient.

Amendment to Rule 57G(4) requiring original duty-payment documents for proforma credit was held consistent with the revised MODVAT procedure, because the Superintendent's verification and defacement mechanism preserved authentication of genuine claims. The impugned circular and trade notice were also upheld since they merely denied credit on a certified copy or authenticated photocopy of the original gate pass, without preventing a claimant from proving duty payment through the documents required by the rule. They were not treated as creating any embargo under Rule 224(B), and the challenge under Article 19(1)(g) failed.

---

---

Issues: Whether the amendment to Rule 57G(4) and the circular and trade notice denying MODVAT credit on the basis of a certified copy or authenticated photocopy of the original gate pass were arbitrary, unreasonable, contrary to Rule 224(B), or violative of Article 19(1)(g) of the Constitution of India.

Analysis: Rule 57G(4) required the manufacturer claiming proforma credit to submit original duty-payment documents and extracts of RG 23A, after which the Superintendent was to verify genuineness and deface and return the documents. The impugned circular only clarified that credit would not be allowed on a certified copy or authenticated photocopy of the original gate pass. It did not prevent the claimant from establishing duty payment by genuine documents required under the rule, and therefore remained consistent with the amended procedure. The circular also did not create any embargo on filing duplicate documents under Rule 224(B); it merely denied credit on the basis of certified or authenticated copies of gate passes.

Conclusion: The challenge failed. The amendment, circular, and trade notice were upheld, and the writ petition was rejected.

---