Input Services Require Direct Nexus with Manufacturing Activity for CENVAT Credit Eligibility

Leel Electricals Ltd. Vs Commissioner of CGST & Central Excise (CESTAT Delhi) Customs, Excise & Service Tax Appellate Tribunal (CESTAT) Delhi dismissed the appeal of Leel Electricals Ltd., formerly known as Lloyd Electric & Engineering Ltd., challenging the demand for wrongly availed CENVAT Credit. The case pertained to a demand of Rs. 80,95,227 along with penalties under Rule 15(2) of the CENVAT Credit Rules, 2004, read with Section 11AC(1)(c) of the Central Excise Act, 1944. The dispute arose from the alleged wrongful availing of credit on input services that were either unrelate...