2016 (8) TMI 486

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....ders wherein cenvat credit on inputs have been denied to the appellants on the premise that the dealer M/s S.K. Garg & Sons who has supplied the goods to the appellant is non-existence and he has merely issued invoices not the goods. 2. The facts of the case are that appellants procured goods from one M/s S.K. Garg & Sons who is a first stage dealer who got registered with the department w.e.f. 05.12.2003. An investigation was conducted at the premises of M/s S. K. Garg & Sons on 14.08.2007, it was found that the premises was locked and godown is also non-existence. Enquiries were made with the landlord who stated that M/s S. K. Garg & Sons has vacated the premises in 2003 itself and thereafter he never let out the premises to anybody. O....

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....the transporter of the goods whether they have transported the goods to the appellants and no investigation was conducted at the end of the manufacture suppliers of the goods. In that circumstances, cenvat credit cannot be denied. It is also submitted that M/s S. K. Garg & Sons filed ST-3 returns with the department and the same have been accepted by them in that circumstances also cenvat credit cannot be denied. In support of their contention ld. Counsels also relied on the decision of CCE, Ludhiana vs. Dhawan Steel Industries - 2015 (324) ELT169 (Tri. Del). 5. On the other hand, ld. DR opposes the contentions of the ld. Counsels and submits that in this case the Preventive Officers of the Central Excise department visited the premises ....

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....the goods from M/s S. K. Garg & Sons. In that circumstances, cenvat credit was sought to be denied to M/s Dhawan Steel Industries but this Tribunal after examining the issue held as under: "4. After considering the submissions made by learned AR and on perusal of the record, I find that the invoices issued by M/s S. K. Garg and Sons giving details of transporters as well as manufacturer-supplier of the goods. No investigation was conducted at the end of manufacturer- supplier as well as transporter of the goods to reveal the truth. The case has been made against the respondents on the presumption that supplier-dealer is not existing firm therefore, there was only paper transaction. Cases cannot be booked merely on the presumption and ass....