9911796707
TMI Blog2011 (2) TMI 795X X X X Extracts X X X X X X X X Extracts X X X X ..... of ingots found. On this basis, the stock of M.S. Ingots worked out to 70.705 M.T., while as per the RG-I Register, the stock was supposed to be 81.075 M.T and as such there was shortage of 10.370 M.T. involving central excise duty of Rs.27,755/-. The respondent pleaded that the shortage may be due to mistake in the counting of ingots by illiterate labourer. They, however, paid the duty on the ingots found short. 1.1 It was found that they had taken cenvat credit of additional customs duty of Rs.41,461/- on the basis of photocopy of the bill of entry dated 9.4.2005 which was not a valid document for cenvat credit as there was no evidence that the original copy had been lost in transit. The respondent reversed the cenvat credit. &nb ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... upon the judgements of the Tribunal in the case of Vardhman Spg. & Gen. Mills Ltd. Vs. CCE reported in 2002 (144) ELT 570 (Tribunal-Delhi) and also in the case of Ceat Limited Vs. CCE, Mumbai-III reported in 2008 (222) ELT 120 (Tribunal-Mumbai), that as regards the shortage of finished goods, the respondent did not dispute the method of weighment and the fact of shortage of the stock vis-`-vis the balance recorded in RG-I Register at the time of stock taking, that since the respondent have not given any satisfactory explanation, the only reason for the shortage found can be the removal without payment of duty and that the Commissioner (Appeals) s finding that there is no evidence of clandestine removal of the goods without payment of duty i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... een taken without the permission of the Asstt. Commissioner. In view of this, the Commissioner (Appeals) s order permitting the cenvat credit on the basis of the photocopy of the bill of entry is not correct and is liable to be set aside. 6. As regards the shortage of the finished goods found, I find that the weighment had been determined in presence of the respondent s representative. For determining the weightment of the 10 ingots had been done and the average weight per ingot had been determined and thereafter the total weight had been determined by multiplying the total number of ingots with the average weight. In my view, while determining the weight in this manner, there will be only marginal difference between the weight reco ..... X X X X Extracts X X X X X X X X Extracts X X X X
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