9911796707
|
Home
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2015 (10) TMI 1250 - AT - Central ExciseDuty demand - Clandestine removal of goods - Held that - There is no evidences at all which have been recovered from the appellants regarding any alleged clandestine removal.There is also no confessional statement from the appellants in this regard.The entire impugned demand has been confirmed and penalties imposed merely on the basis of incriminated documents recovered from M/s. Monu Steel. In the case of Rutvi Steel & Alloys Vs. Commissioner Central Excise, Rajkot 2009 (7) TMI 231 - CESTAT, AHMEDABAD the CESTAT held that entries in the diary of a third party are insufficient to sustain clandestine removal. In this case also, there is no evidence on record to confirm the demand except the incriminating documents recovered from M/s. Monu Steels.Therefore, relying on the decision of this Tribunal in the case of Rutvi Steel & Alloys (supra), the allegation of clandestine removal is not sustainable. Consequently, the demand confirmed in the impugned order is set aside - Decided in favour of assessee.
Issues: Alleged clandestine removal of excisable goods without payment of duty based on recovered incriminating documents.
In this case, M/s. J.S. Forge Ltd. and its director filed appeals against an Order-in-Appeal that confirmed a demand for Central Excise duty along with penalties. The incriminating documents recovered from a commission agent, M/s. Monu Steels, indicated the clandestine removal of goods by M/s. J.S. Forge Ltd. The appellants denied the allegations, stating there was no evidence found in their premises regarding such clearance. The Tribunal noted the lack of evidence or confessional statements from the appellants regarding the alleged clandestine removal. Relying on precedent, the Tribunal held that entries in a third party's diary alone are insufficient to sustain allegations of clandestine removal. As there was no concrete evidence apart from the incriminating documents recovered from M/s. Monu Steels, the demand for Central Excise duty was set aside, and the appeals were allowed.
|
