https://www.taxtmi.com/caselaws?id=54496 Modvat credit could not be denied where the alleged non-use of imported raw materials was traced to an omission in the balance sheet later corrected by a supplementary auditor's statement, and production figures supported actual consumption in manufacture. Credit also could not be disallowed on the allegation that PA grade inputs were never received and inferior inputs were substituted, because the evidence was inconclusive and transporter record defects alone did not prove non-receipt or clandestine diversion. The demand of duty and connected penalties therefore could not survive once the credit disallowance failed, and the ratio required positive, corroborative evidence rather than presumption. en-us Thu, 21 Apr 2005 00:00:00 +0530 Wed, 20 Oct 2010 13:13:14 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=54496 Modvat credit could not be denied where the alleged non-use of imported raw materials was traced to an omission in the balance sheet later corrected by a supplementary auditor's statement, and production figures supported actual consumption in manufacture. Credit also could not be disallowed on the allegation that PA grade inputs were never received and inferior inputs were substituted, because the evidence was inconclusive and transporter record defects alone did not prove non-receipt or clandestine diversion. The demand of duty and connected penalties therefore could not survive once the credit disallowance failed, and the ratio required positive, corroborative evidence rather than presumption. Case-Laws Central Excise Thu, 21 Apr 2005 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=54496