ARADHYA AGENCIES Vs. COMMISSIONER OF C. EX., BANGALORE

JUDGEMENT

(1.) THE issue relates to Modvat credit.

(2.) IT is clear that Modvat credit is admissible on original copy of invoice of the dealer when duplicate copy of invoice was lost in transit under Rule 57G(2)(A) of Central Excise Rules, 1944 subject to satisfaction of the Assistant Commissioner. It appears that the party has sought permission from the Assistant Commissioner to avail Modvat credit on original copy of invoice since duplicate copy was lost in transit. The Assistant Commissioner has rejected the permission on the ground that permission can be granted to only manufacturer and not to a dealer.

(3.) IN this context, Shri Raghu, learned Advocate appearing for the appellants referred to Boards Circular No. 137/48/95 -CX., dated 18 -7 -1995 wherein it was stated at para 2 (ii) : - It has already been clarified vide Boards Circular No. 68/68/94 -CX., dated 24 -10 -1994 that both under Rule 52A/57GG the credit can be allowed on the strength of original invoice where the duplicate invoice is lost in transit. It is, however, clarified that while permitting the credit, the Assistant Commissioner should do the proper scrutiny and the credit be permitted only after proper verification from the originating range. The Counsel said that in the instant case, since the Assistant Commissioner has not made any proper scrutiny and in the absence of proper verification, there was no justification to reject the permission.