9911796707
TMI Blog2000 (10) TMI 438X X X X Extracts X X X X X X X X Extracts X X X X ..... w and dummy unit and thereafter came to a finding that the SSI exemption availed by them was not eligible if the clearances of the other unit i.e. M/s. MPR Refractories Ltd. was required to be clubbed since it was found that certain consignments were intercepted in the process of removal from the premises of M/s. Polygon, by officers of anti evasion which were found to be carrying duty paying documents showing debit of these goods in the account of M/s. MPR Refractories. Enquiries revealed that certain clearances which were effected by M/s. MPR Refratories Ltd. were debited in the duty paying registers of M/s. Polygon. The Commissioner after coming to this finding has demanded duty of Rs. 37 lakhs under the provisions of Rule 9(2) read with ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n existence. They are independent units and the Commissioner s finding of clubbing the clearances and/or dummy units is not correct in law. He further submits that demands made under Rule 9(2) in the present case is bad in law inasmuch as there was no clandestine removal of goods since it is an admitted fact that documents evidencing payment of duty and its proper discharge accompanied the goods when the officers intercepted the truck and hence should not fall for payment of duty once again. He submits that in the facts and circumstances not only waiver of pre-deposit should be allowed but also the entire appeals should be allowed as the order suffers from gross violation of the law. 3. The learned DR S. Kannan, on the other hand submits ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... its to deny the SSI exemption benefit, Section 37B order issued by the Central Board should have been applied. In the present case we find that there is no finding about the applicability and/or compliance with this order by the assessing officer. Therefore, this order is bad in law and is required to be set aside and remanded back for re-adjudication in terms of Section 37B order. (b) Having come to a finding that M/s. Polygon is a sham, facade and dummy unit, and thereafter demanding duty from them by considering it as an independently existing manufacturer is not in terms and in violation of the law laid down by the Tribunal in a catena of decisions. The order determining and demanding duty on units found to be dummy, sham, and facade ..... X X X X Extracts X X X X X X X X Extracts X X X X
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