9911796707
TMI Blog2004 (11) TMI 390X X X X Extracts X X X X X X X X Extracts X X X X ..... On scrutiny of the production challan/voucher, it was noticed that the assessee has not accounted for the production in their RG-1 register. The assessee intended to evade Central Excise Duty, have clandestinely removed the finished goods from the factory without accounting for the same in their statutory records. 3. Show Cause Notice was issued on 30-07-2002 as to (i) why the Central Excise duty amounting to Rs. 29,291/-, as detailed in Annexure-A, should not be demanded and recovered under Section 11A of the Central Excise Act, 1944 on the shortages of the finished goods; (ii) the Central Excise duty amounting to Rs. 1,68,372/-, as detailed in Annexure-B, on the quantity of Swamala and Chyavanprash sent to Filling Department ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1998-99, 1999-2000 and 2000-01, which are more than one year prior to the date of Show Cause Notice, the extended period of limitation was not invoked in the Show Cause Notice. Therefore, the demand in respect of periods prior to one year from the date of issue of the Show Cause Notice is not maintainable. (C) It is well settled that a product reaches RG1 stage only when the goods are finished and ready for marketing. In the case of drugs, as in the present case, under the provisions of Drugs Cosmetics Act, 1940 and the Rules made thereunder, such drugs can be marketed only after duly packing them and labelling them in the manner prescribed under the said Act and Rules. (D) The ld. Joint Commissioner failed to consider the reco ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... big vessels and sent for filling purpose with production challan do not amount to finished goods. Therefore, official concerned erred in noting down the unfinished goods as shortages as RG-1 register shows no particulars of them. 9. It is also noticed from the records that the appellant sent reconciliation statement showing certain shortages of the manufactured goods and paid duty to the tune of Rs. 5,784/- voluntarily and the same has been accepted by the Commissioner (Appeals), reducing the duty from Rs. 29,291/- to the duty already paid i.e. Rs. 5,784/-. 10. The ld. counsel for the appellant relied upon the decision reported in 2004 (168) E.L.T. 466 (Tri.-LB) = 2004 (62) RLT 709 (CESTAT-LB) in the case of CCE, Delhi-Ill v. M/s. Machi ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
