9911796707
TMI Blog2002 (1) TMI 340X X X X Extracts X X X X X X X X Extracts X X X X ..... nst the applicants for the period March to June, 1997, a penalty of equal amount was imposed on them under Section 11AC of the Central Excise Act and another penalty of Rs. 1 lakh was also imposed on them under Rule 173Q of the Central Excise Rules, 1944. This application prays for waiver of pre-deposit of the duty and penalty amounts and for stay of recovery thereof, pending the appeal. 2. I have examined the records and heard both sides. 3. The applicants are manufacturers of rectified spirit, which they manufacture out of molasses procured from various Khandsari and other sugar units. Khandsari molasses is chargeable to duty of excise @ Rs. 500 per MT w.e.f. 1-3-97 under the Finance Act, 1997 and the levy is on the procurer o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of molasses as well as freight and commission in connection therewith. He had also supplied certain records in which the applicants' name figured. Ld. Counsel submits that, during the relevant period, the applicants had received Khandsari molasses through several transporters, but the statement of only one of them was recorded by the Department. Shri Anil Kabra, who gave statement, did not transport the entire quantity of 1646.22 MTs of the molasses in question. A part was transported by various other transporters, even according to Anil Kabra. The Department has not taken evidence from any of them. The Department also did not make enquiries with the Khandsari units from which the molasses was procured by the applicants. Though, at the adju ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... terates the findings of the adjudicating and first appellate authorities. 6. I have examined the submissions. It appears from the record and the submissions made before me today that there is no dispute of the fact that the applicants' stock of molasses or records relating thereto did not disclose any discrepancy, and that the entire case of the Department is founded on certain evidence collected from one of the transporters through whom the applicants had received Khandsari molasses during the relevant period. The evidence of the Department mainly consists in the statements taken from Anil Kabra, who stated that he had received from the applicants over Rs. 44 lakhs in cash towards cost, freight etc. of Khandsari of molasses during th ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
