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TMI Blog2011 (2) TMI 839X X X X Extracts X X X X X X X X Extracts X X X X ..... ucted and the figure of 1100 per M.T. has been adopted from some experiment conducted in the unit of M/s Hans Casting - As the power consumption of one induction furnace unit cannot be compared with the power consumption of other unit without ascertaining the type of furnace, the technology used, the age of the machinery, power supply pattern and, the type of scrap used and for this, the only reliable method is to conduct actual experiment in the unit and ascertain the average power consumption per M.T. which has not been done in these cases - Held that adopting of power consumption norm of another unit is arbitrary and the confirmation of duty demand on this basis would not be sustainable - Decided in favour of assessee. - E/1496 of 2007 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... oth the show cause notices were adjudicated by the respective Adjudicating Authorities, who confirmed the duty demands and also imposed penalty. The duty demands were confirmed by taking the average consumption of electricity per M.T. as 1100 units based on some experiment conducted in the case of M/s Hans Casting which was adopted in both these cases. On appeal to Commissioner (Appeals), the Commissioner (Appeals) in both the cases upheld the original Adjudicating Authority s orders. It is against these orders that the present appeals have been filed. 2. Heard both the sides. 2.1 Shri R. Santhanam, Advocate, the learned Counsel for the appellants, pleaded that in both the cases the show cause notices have been issued only on the ba ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the Tribunal has been upheld by Hon ble Allahabad High Court vide judgment dated 9/9/10, that the Department filed SLP to Hon ble Supreme Court against the judgment of Hon ble Allahabad High Court and the same was dismissed by the Apex Court vide judgment dated 31/1/2011, that in view of this, the impugned orders-in-appeal are not sustainable. 2.2 Shri R.K. Gupta, the learned Departmental Representative, defended the impugned order reiterating the findings of the Commissioner (Appeals) and pleaded that while average power consumption in the case of M/s Pragati Steel is 2104 units per M.T., the average power consumption in the case of M/s Etah Steels 1700 unit per M.T., which is too high, that it shows that the production of finished pro ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the fact in addition to M.S. Ingots they manufacture other iron products iron steel castings and the steel hubs for animal drawn vehicles and the entire power consumption is not in respect of the manufacture of M.S. Ingots. 3. I have carefully considered the submissions from both the sides and perused the records. 4. In both the appeals, the only basis of the department s case against the appellant is that their average power consumption per M.T. should be 1100 units and it is on this basis the production of M.S. Ingots in the case of both the appellants has been estimated and after comparing the same with the production recorded in their RG-1 register, the allegation of under reporting of production and clandestine clearance of u ..... X X X X Extracts X X X X X X X X Extracts X X X X
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