9911796707
TMI Blog2000 (8) TMI 914X X X X Extracts X X X X X X X X Extracts X X X X ..... Credit in respect of the inputs which were found to be short during the Annual Stock-taking in the appellants , factory. An equivalent of penalty has also been imposed in both the cases. 2. Arguing on the appellants, Shri V. Sridharan, learned Advocate submits that the stock-taking was conducted in their factory by the appellants themselves on various dates. As such, shortages of inputs i.e. Alumina , to the extent of 1838.596 M.T. and of 156.384 M.T. came to be detected by them. The show cause notices were issued proposing denial of Modvat Credit in respect of such quantities found short, which ultimately culminated into the impugned Order passed by the Commissioner. 3. Learned Advocate submits that though a number of pleas were raise ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... RG-23A Part-I would get reduced by 6232.156 M.T. As such, the shortages found during the Annual Stock-taking would get neutralilsed inasmuch as the stock-taking process started with the quantities as reflected by them in their RG-23A Part-I initially, whereas after giving effect to the Order dated 8.3.98 passed by the Commissioner, the starting point of the quantum of Alumina would get reduced by 6232.156 M.T. This would in effect, result in excess of Alumina in physical stock than the one reflected in RG-23A Part-I. He fairly agrees that this particular submission was not taken before the Commissioner inasmuch as during the relevant period, the appellants had assailed the correctness of the said Order of the Commissioner by way of fili ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 156 M.T. of Alumina as an input. The effect of the said Order would be that the quantities of raw materials entered in the appellants RG-23A Part-I register would get reduced by 6232.156 M.T. As such, while arriving at the shortages, instead of taking the entire initial quantity of Alumina entered in the RG-23A Part-I, it is the reduced quantum of Alumina as per the Commissioner s Order which is required to be taken into consideration. The effect of the earlier Order of the Commissioner is that the appellants are accountable only for that quantum of Modvat inputs on which they have been allowed to take Modvat Credit. We find force in the submission of the learned Advocate that after denying the Credit in respect of 6232.156 M.T., the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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