By TIOL News Service

NEW DELHI, SEPT 10, 2017: THE appellant is a manufacturer of copper rods and the main raw material of the appellant is copper ingots/copper scrap.

In an investigation, the raw material copper ingot was found short vis-à-vis that shown on record.

Therefore, the department alleged that the assessee had cleared these copper ingots without using the same in manufacture.

The original authority confirmed the duty demand on the copper ingots and also imposed penalties on the assessee and the Director of the company.

The plea of the assessee that they are manufacturers of copper rods and not copper ingots and, therefore, duty cannot be demanded on “copper ingots” fell on deaf ears.

The Commissioner(A) too approved the stand taken by the department.

And, therefore, the assessee is before the CESTAT.

The appellant reiterated the submissions made before the lower authorities and also emphasized that since they had not availed CENVAT credit of the duty paid on the said “Copper Ingots”, they are not liable to reverse credit in terms of rule 3(5) of the CCR, 2004.

Noting that the facts narrated by the appellant have not been disputed by the Revenue, the CESTAT agreed with the claims made by the assessee.

The appeals were allowed.

In passing: Harassment is just another word!

(See 2017-TIOL-3276-CESTAT-DEL)