2010 (6) TMI 220

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..... the view that the same stand generated during the course of manufacture and as such was liable to be cleared on payment of duty. Held that – No evidence of clandestine removal. Scrap if generated, must lead to manufacture of goods which might have been cleared without duty payment. No allegation much less evidence regarding same. SCN contradictory. No infirmity in the impugned order setting aside .....

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..... of scrap, whereas Revenue is of the view that the same stand generated during the course of manufacture and as such was liable to be cleared on payment of duty. For better appreciation of the reasoning adopted by the Commissioner (Appeals) are reproduced in Para 9 10 of his order. "9. Since this is a case of unaccounting of the scrap and was noticed during the survey by the income tax departme .....

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..... elating/investigating the clandestinely removed final products. 10. The lower authority also failed to establish that if the said scrap is considered as generated scrap, then it would automatically lead to the manufacture and clearance of final product without payment of duty. Therefore, the lower authority has not established with evidence that the scrap is a generated scrap. Therefore, there i .....

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