Case Law Details
Commissioner of CGST And Central Excise Vs Ashirwad Foundries Private Limited (Calcutta High Court)
Calcutta High Court held that order passed without considering statements recorded under section 108 of the Customs Act which are not retracted is liable to be interfered.
Facts-
A notice to show cause was issued to the respondent alleging that they have contravened the provisions of Rule 4, 6, 8 and 12 of the Central Excise Rules, 2002, read with Rule 3, 4 and 9 of the CENVAT Credit Rules, 2004 in as much as they fraudulently reaped financial gain by availing inadmissible CENVAT Credit of Rs. 5,57,78,466/- on the basis of fake Central Excise invoices issued by fictitious and non-existent manufacturers, during the financial year 2013- 2014 and 2014-2015 and utilized the inadmissible CENVAT Credit for payment of central excise duties against clearances of their final products, hence the said sum has to be recovered from the respondent in terms of Rule 14 of the CENVAT Credit Rules, 2004 read with Section 11A/Section 11A(4) of the Central Excise Act, 1944 along with appropriate interest.
Commissioner of Central Tax by order dated 28.12.2017 confirmed the proposal in the show cause Aggrieved by the same, the respondent filed appeal before the learned tribunal which was allowed.
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