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TMI Blog2006 (6) TMI 273X X X X Extracts X X X X X X X X Extracts X X X X ..... emoval of excisable goods, as detailed in the loose sheets. Having admitted, saying that the details such as purchase of raw material, sale of finished products and payments thereof etc., were not investigated by the department appears to us as an argument for argument s sake. This argument does not make the case weak in any manner because it is settled position in law that the admitted fact need not be proved. Finding no infirmity in the impugned order, we are inclined to go by the reasoning and findings as contained in the impugned order. We, however, on considering the facts and circumstances of the matter find that there is no warrant for interfering with the impugned order in any way as the penalty imposed is commensurate to the nature of offence - Appeal dismissed. - Justice R.K. Abichandani, Dr. T.V. Sairam, JJ. REPRESENTED BY : Shri Ramakant Gour, Advocate, for the Appellant. Shri R.C. Sankhala, DR, for the Respondent. [Order per : T.V. Sairam, Member (T) (for the Bench)]. - These are appeals filed by M/s. M.R. Tobacco Pvt. Ltd. and Shri Chander Kumar, Director of the said company challenging the order of the Commissioner of Central Excise, Delhi-1. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... have paid Rs. 20,00,400/- towards duty proves that the goods were liable to seizure as they were cleared without payment of duty; (3) That the contents of the panchnama were duly authenticated by the pauchas. (4) That the Accountant after fully understanding the consequences, has admitted its correctness proving thereby that the recovery of loose sheets/loose papers was made from the appellant s premises. (5) That the interception of contraband goods on 19-2-2002 is an evidence by itself to prove that the appellants were indulging in clandestine clearance. (6) That the duty calculations made by the Department were not as per 14 installed machines but as per evidence collected and further admitted by the appellants. (7) That the details mentioned in the loose slips were admitted by all concerned as clearances from the unit without payment of duty. (8) That even in a subsequent statement recorded after approximately two months of gap, the accountant had admitted before the excise officers that the clearances made by them were without payment of duty. 4. The learned Commissioner while coming to the conclusion has relied on the ratio of the deci ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n recovered from their premises and without having any corroborative evidence to prove that they were guilty of the offence. He questioned whether the increase in production could be construed as enough evidence for proving clandestine removal on their part. It was contended that the loose sheets simply show the number of bags removed and no one talked about the contents of those bags. Further, there was no evidence in relation to use of the material, electricity and labour to indicate the scale of alleged production/removal held by the department. He further argued that the details of payments etc. in respect of the raw materials purchased by the appellants and also the finished goods sold by the appellants were simply not forthcoming in the investigation. Further, the loose sheets too only mentioned the movement of bags and did not disclose their contents particularly the alleged quantity of clearances. To support his contention he relied on the following decisions containing the propositions as indicated alongwith :- (i) Kashmir Vanaspati (P) Ltd. v. Collector of Central Excise [1989 (39) E.L.T. 655 (Tribunal)]: The note-book maintained by labourers containing authenticat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rries removed, the transportation details, timing etc. He also relied on the admission made by the accountant about the clandestine removal of such goods. He submitted that these goods were not entered in RG.1 register and even the reply of the appellants to the show cause notice in respect of para 12 thereof, did not dispute the same. It was also pointed out in his statement that actually at the time of visit of the officers 26 machines were running and that they had in all 40 pouch making machines in their premises and 18 to 20 workers were working in the factories. In this connection, he also referred to another statement of Mahesh Haryana, Accountant recorded on 8-5-2002. In this statement the said Accountant had disclosed the pattern of manufacture and clearances. According to him, the ratio of the total production of gutka ( PANKING") was 80% in respect of MRP 50 paise per pouch and 20% in respect of MRP Re.l per pouch. The standard packing in respect of gutka ( PANKING ) having MRP 50 paise was also explained in the statement. According to him, one plastic bag contained 55 packets and each packet contained 13 pouches and one bora contained in the plastic bags. It was ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... non-duty paid goods on 19-2-2002. This led to the discovery of the existence of two boras containing contraband and also the recovery of the so-called loose sheets about which the appellants have admitted as goods cleared. In one of the two statements made by the Accountant on 8-5-2002, there is a clear admission that the clearance has taken place in a clandestine manner. It has also been pleaded before us by the learned SDR that while calculating the duty liability, the department has not gone arbitrarily by the production capacity, but by the minute details as stood indicated in the recovered loose slips. Further, we find that the seizures made in transit as well as in the two godowns clearly corroborate with the findings of the impugned order relying on the recovered loose sheets. The statements of Director and Accountant and also the Production Supervisor all go to prove that the appellants were engaged in clandestine removal of excisable goods, as detailed in the loose sheets. Having admitted, saying that the details such as purchase of raw material, sale of finished products and payments thereof etc., were not investigated by the department appears to us as an argument for ar ..... X X X X Extracts X X X X X X X X Extracts X X X X
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