2015 (1) TMI 29

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....egarding supply of CR strips . Total Cenvat credit availed by M/s. Rasandik Engineering Industries India Ltd., on the basis of invoices issued to M/s. Nidhi Enterprises is Rs. 98,813/-. The invoices issued by the appellant as second stage dealer mentioned their supplier of the goods as M/s. Ayushi Steel, Faridabad, a first stage dealer and also the manufactures name as M/s. Pasondia Steel Profiles Ltd., Ghaziabad. 1.2. In respect of M/s. Pasondia Steel Profiles Ltd. Ghaziabad, a manufacturer of CR strips, there was an inquiry by the department which revealed that while they were procuring HR coils from M/s. SAIL for manufacture of CR sheets and CR strips, they were selling the HR coils to other persons but were availing the Cenvat credi....

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....e also mentioning registration No. of the vehicles in which the goods has been transported; that there is no allegation that the vehicle numbers are bogus or that transport documents are bogus; that M/s. Rasandik Engineering Industries have made payment for the goods sold by the appellant and this fact is also not disputed; that though the appellant had purchased the CR strips supplied to M/s. Rasandik Engineering Industries from first stage dealer M/s. Ayushi Steel M/s. Ayushi Steel, in their statement have named only eight parties to whom they had issued bogus invoices and M/s. Nidhi Enterprises is not among them; that in view of this, it cannot be presumed that the transactions between M/s. Ayushi Steel and appellant were bogus transacti....

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....sold any of goods to M/s. Rasandik Engineering Industries, that Shri Lalit Goel of M/s. Nidhi Enterprises in his statement dated 19.2.09 has also stated that in the light of the evidence produced before him, he agrees that he has not received any material from M/s. Khemka Ispat and M/s. Pasondia Steel Profiles; that Shri Gautam Bhattacharya, president of M/s. Rasandik Engineering Industries on being shown the evidence, had agreed that Cenvat credit has been wrongly availed on the basis of invoices issued by M/s. Nidhi Enterprises and agreed for reversal of Cenvat credit of Rs. 98,812/- which subsequently was reversed; that when each of the 10 invoices mentioned the manufacturer's name as M/s. Pasondia Steel Profiles and when the evidence on....

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....fore, it is for the appellant M/s. Nidhi Enterprises to prove as to from where the material (CR strips/sheets)claimed to have been supplied to M/s. Rasandik Engineering Industries had been procured. As regards the bogus nature of the transactions of M/s. Pasondia Steel Profiles, it is seen that the Tribunal vide Stay Order dated 25.10.10 in case of M/s. Pasondia Steel Profiles reported as 2011 (263) ELT 673 (Tri-Del) after discussing the evidence on record had ordered pre-deposit of Rs. 12 crores. On appeal being filed by M/s. Pasondia Steel Profiles, before Allahabad High Court the same was dismissed vide judgment reported as 2011-TIOL-425-HC-ALLD-CX and while dismissing the appeal filed by M/s. Pasondia Steel Profiles, Hon'ble Allahabad H....