9911796707
TMI Blog1994 (8) TMI 156X X X X Extracts X X X X X X X X Extracts X X X X ..... .76 out of the sum of Rs. 86,06,432.29 as mentioned in the order itself. 5. With regard to the balance amount out of this figure, the appellants have (as per their undertaking dated 27-11-1992) since paid the same vide Challan dated 28-11-1992. 6. Hence for the purpose of this application, the issue remains for consideration is with regard to the demand raised in respect of 1308 vehicles. 7. The appellants were, inter alia, directed by the Department to furnish physical inventories of vehicles. The same was furnished accordingly in respect of vehicles lying in stock with the Company on indicated dates. The Department has made the case based, inter alia, on this information forgetting that this category-wise statement of physical inventory included 1. No. of vehicles within the factory; 2. No. of vehicles cleared on payment of duty and in transit; 3. No. of vehicles cleared on payment of duty and lying in stock-yard of the Company; 4. No. of vehicles cleared on payment of duty and on display. 8. The details have been mentioned in their written submissions. It was their contention that it is not the figures given in the balance sheet but those mentioned in the RG 1 wh ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed by GP 1 is issued by hand on 31-3-1989 have been entered in the RG 1 register on that or earlier date. 19. They had not given satisfactory explanation for not maintaining proper accounts. 20. As regards 1308 vehicles also, it was his submission that they were not reflacted in their RT 12 returns. Moreover, the appellants had, in reply to Show Cause Notice themselves admitted the fact of non-accounting of some vehicles in RT 12 and RG 1. Their only quarrel was with the number of vehicles so short accounted. Further, they had admitted non-accountal of 27 vehicles in 1987-88, 10 vehicles in 1988-89 on an overall basis . 21. Furthermore, the figure of 1308 had been arrived on the basis of the sale figures of the vehicles as shown in the balance sheets of the party, as compared to the RT 12 figures for the same period. 22. The appellants had in fact indulged in suppression of facts and tampering of records, removal of goods without proper accounts and without following proper procedure and without payment of duty as alleged. 23. He also submitted that [the] financial condition of the appellants is sound. The figures furnished by the Department show that they have made soli ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cation for predeposit of waiver is the amount of Rs. 2,60,89,093.03 being the demand of duty of 1308 vehicles alleged to have been cleared without payment of duty. Vide Letter dated 16-8-1990 (para 34 of the Paper Book) and reminder thereto dated 11-9-1990 (page 35) the Department called upon the applicants to furnish a physical inventory of the vehicles category-wise as on 31-3-1986, 31-3-1987, 31-3-1988, 31-3-1989 and 31-3-1990 and quantity of vehicles category-wise produced during the year 1987-88, 1988-89 and 1989-90 which information was supplied under cover of letter dated 28-11-1990. Paragraph 7(viii) of the show cause notice dated 28-3-1991 relates to the demand in respect of 1308 vehicles and the basis of the charge as reflected therein is that the number of vehicles sold in a year according to the balance sheet does not match with the number of vehicles shown cleared in RG 1 Register or RT 12 returns and the actual clearances made by the applicants worked out from the data supplied and confirmed by balance-sheets does not tally with the clearance shown in RT 12 returns. There is prima facie force in the contention of the learned Advocate for the applicants that since the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ithout issue of gate passes and not in relation to the demand in respect of 1308 vehicles with which alone we are concerned in the present application. I, therefore, propose waiver of pre-deposit of duty of Rs. 2,60,89,093.03 and stay of its recovery pending the appeal. Dated : 17-1-1994 Sd/- (Jyoti Balasundaram) Member (J) In view of the difference of opinion between the Hon ble Member (Judicial) and the Vice President, the matter is submitted to the Hon ble President for reference to a third Member on the following point :- Whether in the facts and circumstances of this case, the appellant s request for waiver of pre-deposit and stay of the order, was required to be granted or rejected. Dated 18-1-1994 Sd/- (Jyoti Balasundaram) Member (J) Sd/- (S.K. Bhatnagar) Vice President The point of difference in the above matter is referred to Shri K.S. Venkataramani, Member (Technical). Dated : 15-2-1994 Sd/- (Harish Chander) President 32. [Order per : K.S. Venkataramani, Member (T), Third Member on Reference]. - Learned Counsel, Shri Sridharan appearing for the applicants, herein, referring to the point of difference, submitted that the present ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ty-paid vehicles involving 251 and 70 vehicles is the one where the applicants have admitted their lapse. In the present case, they have supported their contention by submitting a detailed break-up of the figures given in the balance sheet. The statements on which reliance is placed are also relating to 251 and 70 vehicles only and a perusal of the statement also does not indicate that it was in relation to 1308 vehicles with which we are concerned in the present stay application. The sole basis of the department s case in respect of these 1308 vehicles is the discrepancy found by the working back from the balance-sheet figures. The applicants have furnished a Chartered Accountant s certificate giving a break-up of the closing stock of the vehicles at the end of each financial year, as between the vehicles in the factory and the duty-paid vehicles. During the proceedings before the Tribunal, they have also given a chart showing closing balance of stock for 1987-88, 1988-89 and 1989-90 alongwith the proof of the duty-paid nature of the vehicles of the unit in the depot. It also contains details of engine number, chassis No. and model No. of the vehicles and their locations and also ..... X X X X Extracts X X X X X X X X Extracts X X X X
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