2013 (2) TMI 81

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....manufacture of articles of MS bars and rods and were availing the benefit of Cenvat credit of duty paid on the inputs i.e. MS ingots used in the manufacture of their final products.   3. Based upon the Alert circular No. 1/2007 issued by Kolkata Commissionerate in respect of availment of Cenvat credit on the basis of fake invoices issued by M/s. Shree Hanuman Trading Co. located at Howrah, Kolkata, investigations were initiated against the respondents. The respondents authorized representative in his statement recorded by the officers deposed that they have availed the credit on the basis of three invoices all dated 1.10.2005 issued by M/s. Shree Hanuman Trading Company. He also produced the said invoices along with bilties of trans....

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....ces issued by M/s. Shree Hanuman Trading Co. The same were duly supported with form 31 and the said trade tax form 31 has been duly checked by the Trading Tax authority of West Bengal, Bihar, UP borders before the final delivery to the respondents. The same physically entered their factory and were duly recorded in the statutory records. The said ingots were further used in the manufacture of their final product which have been cleared after making payment of duty and after making entry in the statutory records. The payment of ingots was made b y an account payee cheque. They also referred to Board s circular No. 766/82/2003-CX dated 15.12.03 clarifying that user manufacturer is not liable to reverse the credit if manufacturer supplier has ....

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....e records placed before me it may be concluded :   a) The input in question has entered in UP as it is certified by another Govt. department (Trade Tax Department). The same was recorded by appellant in their records and used in the manufacture of the final products which were subsequently cleared on payment of duty.   b) Payment for the purchase of the input has been made through cheque and by demand draft.   It is contention of the department that the above referred trading firm has extended the Cenvat credit to the appellant No.1 without their being any duty paid mother invoices.   Thus in the light of findings of the preceding para it is proved beyond doubt that appellant No. 1 have received the goods on ....