https://www.taxtmi.com/caselaws?id=754235 CESTAT Ahmedabad allowed the appeal, setting aside the demand for CENVAT credit denial and penalty for alleged clandestine removal. The tribunal found the revenue's investigation deficient and incomplete regarding physical shortage of raw materials. The department failed to verify the appellant's explanations for shortage and merely assumed theft without corroborative evidence. The tribunal held that statements recorded during investigation without cross-examination were inadmissible. Since there was no evidence of diversion, theft, or clandestine clearances, and only improper accounting remained, no CENVAT credit demand was sustainable under Rule 14 of CENVAT Credit Rules, 2004. en-us Tue, 18 Jun 2024 00:00:00 +0530 Thu, 20 Jun 2024 08:35:38 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=754235 CESTAT Ahmedabad allowed the appeal, setting aside the demand for CENVAT credit denial and penalty for alleged clandestine removal. The tribunal found the revenue's investigation deficient and incomplete regarding physical shortage of raw materials. The department failed to verify the appellant's explanations for shortage and merely assumed theft without corroborative evidence. The tribunal held that statements recorded during investigation without cross-examination were inadmissible. Since there was no evidence of diversion, theft, or clandestine clearances, and only improper accounting remained, no CENVAT credit demand was sustainable under Rule 14 of CENVAT Credit Rules, 2004. Case-Laws Central Excise Tue, 18 Jun 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=754235