Modvat credit cannot be denied for missing duplicate invoice copy when duty payment and input use are undisputed.

Modvat credit under Rule 57G and Rule 57G(2A) of the Central Excise Rules was not to be denied merely because the duplicate invoice copy was unavailable. Where the invoice was duty-paid, the receipt of goods was undisputed, and the inputs were used in manufacture of final products, the substantive conditions of the credit scheme were treated as satisfied. On that basis, credit on the original invoice was allowable and the disallowance was unsustainable.

---

---

Issues: Whether Modvat credit could be denied merely because the duplicate invoice copy was not produced, when the original invoice was available and the duty-paying character of the document, receipt of goods, and their use in manufacture were undisputed.

Analysis: The claim for credit was examined in the context of Rule 57G and Rule 57G(2A) of the Central Excise Rules and Notification No. 7/99-CE (NT) dated 09.02.1999. The material facts were not in dispute: the invoice was duty-paid, the goods had been received, and they were used as inputs in the manufacture of final products. The absence of the duplicate copy, by itself, was held not to defeat credit where the substantive conditions for availing credit were otherwise satisfied and the settled position of law supported allowance on the original invoice.

Conclusion: Modvat credit could not be denied solely for want of the duplicate invoice copy, and the disallowance was unsustainable.

Final Conclusion: The assessee was entitled to Modvat credit on the original invoice, and the denial of credit was set aside.

Ratio Decidendi: Where the duty-paying nature of the invoice, receipt of goods, and use of inputs are undisputed, Modvat credit cannot be denied merely because the duplicate copy of the invoice is not available, if the substantive requirements of the credit scheme are otherwise met.

---