COMMISSIONER OF C. EX. Vs. TATA MOTORS LTD.

JUDGEMENT

(1.) We have heard both sides. The brief facts of this case are that an amount of about Rs. 10,00,000/- (rupees ten lacs) was claimed as Modvat credit by the respondent-assessee. Out of the aforesaid amount of Rs. 10,00,000/- (rupees ten lacs), a sum of less than Rs. 5,00,000/- (rupees five lacs) was claimed on the strength of certain invoices, issued to the respondent-assessee by one Clutch Auto Ltd., Mathura in respect of the inputs supplied to the assessee by Clutch Auto Ltd., Mathura.

(2.) It is not disputed mat the full amount of invoices was paid by the assessee to M/s. Clutch Auto Ltd. It is also not disputed that the inputs supplied by M/s. Clutch Auto Ltd. to the assessee were excisable items. The case of the department is that M/s. Clutch Auto Ltd. did not actually deposit the excise duty, which was payable on the said inputs, which were supplied to the assessee.

(3.) The Tribunal has held in favour of the assessee and against the department, saying that the assessee was not at fault.