https://www.taxtmi.com/caselaws?id=248550 Fraudulent availment of Modvat credit on Naphtha was treated as recoverable where records showed non-existent buyers, fabricated invoices, manipulated transport documents, and diversion of the input; payment of duty on bogus final-product clearances did not amount to valid reversal of credit. The note also records that proceedings under Rule 57I continued to be maintainable after the shift to the Cenvat regime because Section 38A validated pending actions under repealed or substituted rules. Suppression and fraud justified invocation of the extended limitation period, and penalties were held sustainable in principle, with quantum to be recomputed after verification. en-us Tue, 13 May 2014 00:00:00 +0530 Sat, 10 Jan 2015 10:35:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=248550 Fraudulent availment of Modvat credit on Naphtha was treated as recoverable where records showed non-existent buyers, fabricated invoices, manipulated transport documents, and diversion of the input; payment of duty on bogus final-product clearances did not amount to valid reversal of credit. The note also records that proceedings under Rule 57I continued to be maintainable after the shift to the Cenvat regime because Section 38A validated pending actions under repealed or substituted rules. Suppression and fraud justified invocation of the extended limitation period, and penalties were held sustainable in principle, with quantum to be recomputed after verification. Case-Laws Central Excise Tue, 13 May 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=248550