2011 (4) TMI 611

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....dated 10.1.2006 stated that he has been issuing fake invoices showing sale of copper wire enabling the manufacturers to take credit. He also stated that he also issued fake bills of entry to support his action in issuing invoices. He claimed that he used to receive cheque payment and return money to the supplier by way of self cheque or by way of cash after taking his commission. He categorically stated that he has not supplied any goods with the invoices issued by him as a dealer.   4. Consequent to this, the officers have taken the statement of Shri Rajesh Goel, director of the appellant on 18.1.2006 and he claimed that he has received the goods alongwith invoices but at the same time debited irregularly availed credit amounting t....

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....g to which based on fake bills of entry, invoices were issued without supply of goods and that the manufacturer who received the invoices has arranged goods on their own.   7. Alternatively learned Advocate submits that the benefit of concessional penalty under proviso to section 11AC should be extended in the light of the decision of the Hon ble High Court in the case of K.P.Pouches Pvt.Ltd. vs. Union of India reported in 2008 (228) ELT 31 (Delhi).   8. I have carefully considered the submissions from both sides and perused the records. I find that Shri Sunil Mittal, proprietor admitted having merely issued invoices without supplying the goods mentioned in the said invoices. He also admitted that issuance of invoices was ba....