ORDER
K.D. Mankar, Member (T)
1. Heard both sides.
2. Dispute relates to the Modvat credit of
Rs. 79,300/-, in respect of Jet dying machines. The
credit has been taken on the basis of original copy
of invoice, which is not valid document for
availing Modvat credit. The original authority has
disallowed the credit on the following grounds :-
i) They availed and utilised Modvat credit on
the basis of original invoice even before making an
application seeking permission.
ii) The claim of loss of the duplicate copy in
transit, as affirmed by an affidavit from the
transporter was not adequate and no evidence was
shown that the transporter had taken reasonable steps such as lodging a complaint with the police for the loss of precious documents which was essential.
3. I note that, so far as the first ground is
concerned, the rule does not require a prior
permission. It is only in the event, the Assistant
Commissioner is not satisfied about the loss in transit, then the credit can be denied. Therefore, this ground of rejection is without any merit. So far as the ground of inadequacy of precautions relating to loss of duplicate copy is concerned, the original authority has denied the credit, not on the basis of his subjective finding that such a loss has occurred, but on the ground that transporter ought to have taken suitable measures to avoid this loss. The loss in transit itself is not disputed. The order in appeal, however, asserts that prior permission is required and post facto condonation is not permissible, This finding cannot be supported as only requirement of Rule 57G (A) is that the appellant had to merely demonstrate that there had been a loss of duplicate copy of the invoice in transit. In that situation only on the basis of the Assistant Commissioner’s finding to the effect that there had been no such loss the credit could have been disallowed. In the absence of such a finding, the appellants are entitled to take the credit.
4. Accordingly, the appeal succeeds and is allowed and consequently the orders of the lower authorities are set aside.
(Pronounced in Court)