2009 (2) TMI 565

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....uch investigations, it was alleged that the appellant had taken Modvat credit of Rs. 33,94,590.90 without actually bringing the inputs in their factory premises. The inputs so purchased by the appellants were sold in the open market but the credit was availed in their Modvat credit. The amount of Modvat credit so wrongly availed by the appellant were made on the basis of the raw material found short, by calculating total quantity of raw material purchased as per RG23 Part-A register and subtracting the quantity utilized in the manufacture of goods cleared and stock of raw material found in the unit. 2. The impugned order stands passed by the Commissioner in de novo proceedings when the matter was earlier remanded by the Tribunal. The ....

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.... 20) almost double the weight of metal component/box taken in the panchnama and in the SCN. The advocate also requested for permission to cross-examine the investigating officer, which was permitted." 3. Thereafter the appellants were also provided cross-examination of the investigating officer. 4. While dealing with the above plea of the appellant, adjudicating authority has observed as under :- "15. I have perused the bills of entries and have noticed that the unit has procured mainly M.S. Cold Rolled defective sheets and Tin plate waste/waste in steels. The thickness mentioned in the bill of entries is shown as 0.30 mm or lighter or 0.40 mm or less and so on. It clearly shows that the goods obtained in one bill of entry....

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.... certificate. In the defence reply, the appellant has calculated actual shortage of 74.185 MTs whereas in the Chartered Engineer's certificate the same has been shown as 4.48 MTs. The unit has procured raw materials by various thickness under various bills of entriees whereas Chartered Engineer has made calculations by taking the weight of the box with 1 MM sheet which would be around 3692.88 gms. and which is unrealistic. He also took into consideration the discrepancies in the documents showing procurement of 55 consignments of raw materials, as detailed in the impugned order. 5. In view of the above, he rejected the Chartered Engineer's certificate and observed that as the actual thickness of the entire raw material procured could ....