2015 (12) TMI 68 - AT - Central Excise

Duty demand - Excess stock found - Malafide intention - Held that - Revenue has not produced any inventory to show that the stock was physically verified by them. Mere acceptance of such excess at the time of visit of the officers by itself cannot be held to be a conclusive proof. In any case and in any way of the matter I find that it is not the case of the Revenue that such excess stock was not entered in the RG register deliberately and with mala fide intent to remove clandestinely. As such I find no merits to interfere in the order of the Commissioner (Appeals). - Decided against Revenue.

Summary

The Appellate Tribunal CESTAT NEW DELHI rejected the Revenue's appeal regarding excess stock of sponge iron found at the factory. The Commissioner (Appeals) extended benefit to the respondents as weighment was not verified, and the excess stock was estimated. The Revenue failed to provide physical verification of the stock and did not prove mala fide intent. The appeal was rejected.