9911796707
TMI Blog2003 (4) TMI 481X X X X Extracts X X X X X X X X Extracts X X X X ..... .S.I.D.C, at Gandhare, near Vaitarna River, Taluka Wada, District Thane (hereinafter referred to as the applicant) and Shri Vinod Khetabhai Patel and Shri Dinesh V. Patel (hereinafter referred to as co-applicants). BRIEF FACTS OF THE CASE 2. The applicant, a partnership concern engaged in the manufacture of Flush doors , was served with a demand notice dated 11-8-1999 by Additional Commissioner, C. Excise, Mumbai-III alleging therein that flush doors valued at Rs. 89,76,939/- were cleared clandestinely without payment of duty of Rs. 16,15,849/- by using parallel invoices. Penal provisions under Rules 209 209A of CER 44 have been invoked against Shri Dinesh V. Patel Shri Vinod K. Patel, Partner of M/s. V.K. Patel Co. 3. The ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... epresented by Shri Vipin Jain, Chartered Accountant. 8. The ld. Chartered Accountant submitted that the issue involved in this case is that of clandestine clearances and the period involved is 2nd April 1998 to 28th January 1999 and the modus operandi adopted in this case was that the applicant was manufacturing flush doors on job work basis for some customers and clearing the same without payment of duty under cover of parallel invoices. Depending on the destination, the applicant was planning the dispatches by using parallel invoices and the quantities of goods shown on the original and the parallel invoices were the same except for minor differences. It was submitted that the dispute of such non-duty paid clearances during the said per ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pplicant and the Revenue. 14. The evidences against applicant shown in the Show Cause Notice are as follows: (a) The officers on their visit to the applicant s firm found that they had not debited Central Excise duty of Rs. 5,993/- pertaining to the Invoice No. 172, dated 11-2-99. (b) Officers found five torn invoices Nos. 164, 168, 169, 170 and 171 dated 21-1-99 to 6-2-99 i.e. in a fortnight s time which pertain to illicit removal during that fortnight under duplicate set of invoices. (c) Officers found invoice No. 172 from the personal search of the Excise Clerk of the applicant which was also found to be a duplicate invoice dated 11-2-99. (d) The invoices were raised on one M/s. Asian Timber Trading Co. which w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the conduct of a person or persons who were destroying the documents used for clandestine removals immediately after the purpose of such duplicate invoices was over. We find in this case that the applicant in one fortnight alone had issued six duplicate invoices for clandestine removals, they are Nos. 164, 168, 169, 170, 171 and 172. This lends very substantial authenticity to the statements in which Shri Dineshbhai Patel, Shri V.K. Patel and Shri Vellilingam have very categorically admitted that against all the licit clearances under 172 invoices, they had made clandestine clearances also under 172 invoices. This get further reinforced by the fact that in one fortnight alone duplicate invoices recovered were in Sr. Nos. following each othe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... onal duty liability in this case. However, the applicant did co-operate with the Bench for settlement of the case. Immunity to the applicants is granted so far as the fine under the Central Excise Act/Rules 1944 is concerned. A penalty of Rs. 50,000/- is imposed on M/s. V.K. Patel Co. and immunity in excess of Rs. 50,000/- is granted to the applicant firm and the co-applicants so far as the penalty is concerned. Immunity is also granted to the applicant from payment of interest under the Central Excise Act, 1944 in excess of 10%. The said interest @10% shall be calculated by the applicant from the date on which the duty became payable till the date duty is paid. After doing such calculation of interest, the applicant shall get confirmatio ..... X X X X Extracts X X X X X X X X Extracts X X X X
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