TaxTMI 
TaxTMI 
2016 (1) TMI 881
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....t. Ltd., Balaji Industrial Products Ltd., Shri Madhu Sudan Somani, Shri Bharat Bhushan Malik and Shri Pankaj Agarwal Proprietor manufacturers have engaged in activity manufacturing of MS Ingots and procuring scrap (inputs) from the open market. On the premises that the appellants are not procuring goods from M/s. R.N. Enterprises, a registered dealer and proprietor, Shri Pankaj Aggarwal and only procuring invoices and veiling Cenvat Credit on the strength of the invoices an investigation was conducted. Statement of the manufacturers, registered of dealer and transporters were recorded and on the basis of the statement it has been alleged that the manufacturers have received only invoices and not the goods. Therefore, manufacturers are not e....
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....venue to deny Cenvat Credit except the statement of the transporter / owners / drivers of the vehicle. It is further submitted that the registered dealer in his statement has stated that the material has been purchased by him from M/s. Sharma Steel Rolling Mills and Sitavati Ispat Pvt. Ltd. of Jaipur which was sold to the manufacturer appellants. The transactions of purchase and sales were made through account payee cheques only and the manufacturer appellants have also in their statement stated that they have received and used the inputs in manufacturing of final product which has been cleared on payment of duty. Therefore, the investigating team has not put contrary evidence on record as during the course of visit to the manufacturer appe....
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....p of time between six month to three years of transportation of the goods. It is also not coming out from the statements that the vehicles were driven by the driver or the owner himself or whether the statement recorded is of the driver or of the owner. Moreover, the logbooks of the transporters have not been brought on record by the Revenue and the demands has been confirmed only on the basis of the statement of owners / transporters / drivers of the vehicle. No cross examination has been granted to the appellants manufacturers. Whereas the registered dealer has made a clear statement that he has supplied the goods to the appellants and source of procurement of the goods in question has also been stated to the investigating team but no inv....
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....ating Authority. As far as the Tribunal is concerned, we find that rejection of this plea is totally untenable. The Tribunal has simply stated that cross-examination of the said dealers could not have brought out any material which would not be in possession of the appellant themselves to explain as to why their ex-factory prices remain static. It was not for the Tribunal to have guess work as to for what purposes the appellant wanted to cross-examine those dealers and what extraction the appellant wanted from them. 7. As mentioned above, the appellant had contested the truthfulness of the statements of these two witnesses and wanted to discredit their testimony for which purpose it wanted to avail the opportunity of cross-examination. Th....