2003 (11) TMI 533

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..... persons, whose statements are relied upon, has to be weighed in the light of the facts that all the statements relied upon were placed before them. They had all the opportunity to demolish these statements during the proceedings. Cross-examination cannot be claimed as a matter of right in departmental proceedings. Each case has to be examined on its own merits. In regard to the financial hardship claimed, we observe that the audited balance sheet has not been tendered. The claim of the applicants that they have accumulated losses over the years is taken into consideration. The applicants failed to make a strong prima facie case in their favour. We do not consider that this is case fit to waive pre-deposit of duty and penalty completely. M/ .....

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..... ent of duty. These allegations are based on the study of the balance sheets of the assessee for the years 1994-95, 1995-96, 1996-97 and 1997-98. It is alleged that the balance sheet revealed that the total sale value of their goods is higher than that shown in the excise records. The applicants plea, that the sales and manufacturing expenses as reflected in the balance sheets include amounts pertaining to sale of timber, was not accepted by the Commissioner in view of the statements of the employees that no such sale of timber took place. The allegation that the assessees undervalued their goods was sought to be established through the dealers who purchased the goods from the assessee. Clandestine removal was sought to be established throug .....

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..... cants factory is closed for the past year and a half. 5. Heard both sides. 6. We observe that the Department s case is based on the balance sheets of the applicants right from the year 1994 to 1998 which were duly audited. The applicants explanation that the discrepancies in the balance sheets and excise records is due to figures relating to sale of timber, an activity which they say they are involved in does not appear to be prima facie correct in view of the various statements of their own employees. Their contentions that principles of natural justice are violated inasmuch as cross-examination of persons, whose statements are relied upon, has to be weighed in the light of the facts that all the statements relied upon were placed before t .....

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