9911796707
TMI Blog2001 (2) TMI 702X X X X Extracts X X X X X X X X Extracts X X X X ..... the issue involved in the instant appeal is as to whether the appellants were engaged in the manufacture of electric fans or whether they had been engaged in the reconditioning/repair of the old and defective fans, as also subject matter of earlier period involving seizure case, which came for consideration before the Hon'ble CEGAT. The Hon'ble Tribunal vide Final Order No. A/684/95-NB, dated 23-8-1995 [1996 (84) E.L.T. 485 (T)] in their own case of the appellants for the earlier period, held that the appellants were only repairing and servicing the old fans and such an activity did not amount to manufacture and resulting in production of new goods. I also observed that the lower Adjudicating Authority has not relied upon any other additio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ffixed with new number by letters 'SC' which denote service centre; that these fans were packed in card board boxes along with a new guarantee card carrying a guarantee of full five years. The department was not satisfied with the explanation given by Shri Cheema, seized fully finished fans valued at Rs. 9,47,088/-. Shri Cheema further stated that they were maintaining daily production report in respect of fans produced and that no records with reference to repairs of fans was being maintained. When verification was undertaken at E-142, Focal Point, Ludhiana 2885 electric ceiling fans, 12 electric table fans and 140 sets of blades in excess of those covered by Central Excise GP1s issued by Noida unit were found. Enquiries revealed that the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dents submitted that the details of 32347 fans of different specifications alleged to have been manufactured and cleared by the respondents herein may be supplied to them. It was also contended that the contents of the statements of S/Shri Har Narinder Singh Cheema, Joginder Singh and Gurbax Rai were relied upon for confiscation of the siezed goods, and imposition of penalty and also demand of duty initiated under SCN dt. 6-3-1992 and that the adjudicating authority in that case had held that the respondents herein were not engaged in the manufacture of electric fans and that their activity was limited to repairs of defective fans. In appeal this matter went to the Tribunal and the Tribunal by its order dt. 23-8-1993 upheld the order-in-ori ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... given the benefit for 3325 electric fans which they claimed to have repaired. Ld. JDR submits that since the assessee had adequate machinery for the manufacture of fans, they manufactured these fans and cleared them without payment of duty and, therefore the authorities below have rightly confirmed the duty and imposed a penalty. He submits that the judgments in the case of Sriram Referigeration Industries and Maze Products Limited were not relevant inasmuch as the facts and circumstances of these cases are different from the one before the Tribunal. He, therefore, prays that the appeal may be allowed. 7. Shri Harbans Singh, ld. Advocate submits that the respondents are trading and sole selling agents for M/s. Metro Appliances (P) Lim ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... was much less than the number of fans actually alleged to be manufactured and cleared was much larger. However, there is no detailed analysis of these facts. Clandestine removal cannot just be proved on the basis of number of fans alleged to have been manufactured. Clandestine removal needs to be proved to the hilt. Just because during the material period some figures were available clandestine manufacture and removal without payment of duty cannot be proved. Figures appearing in the books cannot be made the basis for clandestine removal in the absence of tangible evidence. 9. Having regard to the fact that there was no such evidence showing the clandestine removal of the goods without payment of duty and also having regard to the fa ..... X X X X Extracts X X X X X X X X Extracts X X X X
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