2018 (5) TMI 1421

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....then the ground already advanced in the appeal. Same is allowed and with the concurrence of both parties, the appeal itself is taken up for final disposal. 2. The dispute pertains to the period October, 2007 to December, 2012 and pertains to Keshav Dev Malviya Institute of Petroleum Exploration (KDMIPE), Dehradun which is a Division of Oil and Natural Gas Corporation Limited (ONGC). The appellant is registered with the Service Tax Department and the output services include: (i) Maintenance and Repair Service; (ii) On line Information (iii) Commercial Training or Coaching Service (iv) Scientific and Technical Consultancy Service (v) Erection, Commissioning and Installation Service and (vi) Consultancy Services. The appellant wa....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

..... Further, penalty was imposed on various grounds of the Finance Act. Aggrieved by the order, present appeal is filed by the appellant. 3. With this background, we heard Sh. Verender Kalra, ld. C.A. for the appellant and Sh. Sanjay Jain, ld. AR appearing for the Revenue. 4. The arguments advanced on behalf of the appellant are summarised below: (i) Ld. Consultant submitted that the KDMIPE is a unit of ONGC which caters to the requirement of all other units of ONGC and also renders service to outside parties. The cenvat credit availed is in respect of various input services, a significant part of which by way of reverse charge mechanism in respect of services such as Works Contract Service, Sponsorship Service and Manpower Supply Service....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....fied the impugned order. He drew our attention to para 5.13 and 5.14 of the impugned order in which the adjudicating authority has given detailed justification to hold that the appellant has availed cenvat credit irregularly. He further submitted that there is no co-relation between the input services availed with the output service rendered. He argued that other Divisions of ONGC having separate registration and as service rendered to other ONGC units are to be considered as exempt service and hence he justified the reversal of cenvat credit. 6. Heard both sides and perused the appeal record. 7. After hearing both sides and on perusal of record, we note that the Department, vide the impugned order, has sought to disallow the cenvat credi....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....directly or indirectly, in or in relation to the manufacture of final products and clearance of final products upto the place of removal, And includes services used in relation to modernization, renovation or repairs of a factory, premises of provider of output service or an office relating to such factory or premises, advertisement or sales promotion, market research, storage upto the place of removal, procurement of inputs, accounting, auditing, financing, recruitment and quality control, coaching and training, computer networking, credit rating, share registry, security, business exhibition, legal services, inward transportation of inputs and outward transportation upto the place of removal; but excludes" From the above, we note that ....