2016 (6) TMI 233

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.... the parties who had issued the respective subsidiary gate passes. The matter traveled upto Tribunal which vide Order No. A/1252/C-IV/SMB/2007 dated 29.8.2007 remanded the matter to the original adjudicating authority with the following observations: - "3. The case of the department is based on statement of dealers whose names were appearing on the subsidiary gate passes as consignors, all of whom have denied having sold the inputs to the appellants. However, I find from the record that the appellants' stand throughout has been that they purchased from other dealers to whom the consignors had initially sold the goods and this is the reason why their names (appellants) are found on the relevant documents. In the reply to the show-ca....

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....Chemosol Ind. (India) Pvt. Ltd, M/s Arnath Credit & Commerce, M/s D. Jamnadas & Co. and M/s Siddharth Colour Chem Pvt. Ltd. None of these submissions and documents filed by the appellants to support these submissions have been considered by the authorities below. The department was required to verify the correctness of the above submissions and only if it was found on investigation that the explanation was not correct (that the goods covered by the subsidiary gate passes were ultimately purchased by the appellants), could the credit be disallowed. I, therefore, set aside the impugned order and remand the case to the adjudicating authority to verify the claim of the appellants regarding purchase of the entire quantity on which credit was ava....

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....they had not bought the goods directly from the importer/manufacturer but from the dealers who had in turn purchased the same from the importers/manufacturers. It was argued that in these circumstances, it is not possible for mentioning the name of the party in the subsidiary gate passes to match with the name of the supplier of the raw materials to the appellant. The subsidiary gate pass was obtained from the manufacturer/importer and not by the dealers and therefore the question of name of the supplier matching with the name of the party appearing in the subsidiary gate passes does not arise. She also claimed that they had supplied complete details linking the purchase of goods by their supplier from the importers/manufacturers. To suppor....