Vague Allegations against manufacturing unit without disputing Credit availed by ISD: CESTAT quashes Denial of Central VAT Credit

The Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) quashed the denial of Central VAT Credit to a manufacturing unit based on vague allegations without disputing the credit availed by the Input Service Distributor (ISD). The tribunal emphasized that the admissibility of CENVAT credit cannot be questioned during a refund claim process if the credit was correctly availed as per the rules. The case highlighted that allegations must be specific and substantiated to deny credits legitimately availed by the unit. The tribunal's decision underscored the importance of adhering to legal procedures and ensuring that all claims are backed by concrete evidence before making any denials​