9911796707
TMI Blog1996 (3) TMI 204X X X X Extracts X X X X X X X X Extracts X X X X ..... ) by clubbing the clearances of 3 units i.e. (1) Asian Radiators (2) Asian Cooling System and (3) Asian Heat Exchangers (ii) clandestine removal of the goods without payment of duty. By clubbing the clearances, the duty demanded is Rs. 16,72,980.52 and for clandestine removal the duty demanded is Rs. 15,60,669/-.The Counsel pleaded that the production of the 3 units have been clubbed by the ld. lower authority, while these three units were functioning independently and therefore their clearances should also have been accounted for independently. He pleaded that the learned lower authority found that there were some financial accommodation by the three units inter se and for that reason he has held there was interlocking the operation among ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ors is Rs 2.00 lakhs and Rs. 6.00 lakhs during the year 1991-92 and amount diverted from Asian Heat Exchangers to Asian Cooling System during the year 1991-92 was Rs. 6.31 lakhs. He pleaded that taking into consideration the totality of the operations of these units, very small amounts only by way of financial accommodation between the different parties were involved and these very small transactions cannot lead to a conclusion that there had been total financial accommodation between these units for the purposes of manufacture and sale of goods. In this context the learned Counsel referred us to para 89 of the impugned order and pleaded that detailed analysis of financial accommodation of the different units vis-a-vis total sales has not b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... based on certain particulars of a document called QC records as already mentioned. There in no reference about the authenticity or relevancy of these papers for demand of duty in the show cause notice. These consist of zeroxed loose sheets. None of us had an opportunity to see the original, if there is any. It is not in company stationery. They are neither signed, or initialed or endorsed. Even the Managing partner is unaware of such a document. He had categorically stated that no one has been authorised to maintain such a list. The intent and purpose of this document is not known. He pleaded that the learned lower authority has not dealt with the plea of the appellants and merely stated that leak test reports were available upto the year ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... was interlocking and interlacing of funds. He pleaded that the learned lower authority has also take note of the production records seized from the appellants and therefore finding in regard to clandestine removal of the goods is correct and the same is not open to challenge. 5. We have considered the pleas made before us. We observe that clubbing of the clearances of various units has been primarily done prima facie based on the financial accommodation inter se of the three units. We observe that financial accommodation as seen from the records, does not appear to be even 10% of the value of the goods cleared by the applicants. In this view of the matter, the appellant s plea has some force. So far as clandestine removal of the goods is ..... X X X X Extracts X X X X X X X X Extracts X X X X
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