https://www.taxtmi.com/caselaws?id=795557 Denial of CENVAT credit and consequential penalties cannot rest solely on an alleged stock shortage determined by eye estimation during physical verification. Stock-verification records must provide item-wise details and establish a reliable method of actual weighment, particularly for pipes and tubes of differing dimensions. Verification of substantial quantities within a limited period, without documented methodology, does not reliably establish shortages. In the absence of corroborative evidence of clandestine manufacture or removal, an estimated shortage cannot sustain the demand. The denial of CENVAT credit and penalties was therefore set aside. en-us Tue, 21 Jul 2026 00:00:00 +0530 Fri, 24 Jul 2026 08:36:17 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=795557 Denial of CENVAT credit and consequential penalties cannot rest solely on an alleged stock shortage determined by eye estimation during physical verification. Stock-verification records must provide item-wise details and establish a reliable method of actual weighment, particularly for pipes and tubes of differing dimensions. Verification of substantial quantities within a limited period, without documented methodology, does not reliably establish shortages. In the absence of corroborative evidence of clandestine manufacture or removal, an estimated shortage cannot sustain the demand. The denial of CENVAT credit and penalties was therefore set aside. Case-Laws Central Excise Tue, 21 Jul 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=795557