9911796707
TMI Blog2014 (2) TMI 967X X X X Extracts X X X X X X X X Extracts X X X X ..... non-ferrous metal ingots viz Aluminium Alloy, Zinc Alloy, Copper Alloy, Nickle Alloy Ingots and Bronze & Tin ingots falling under Chapters 74 & 75 of Central Excise Tariff Act, 1985. During the course of search conducted by Preventive Officers of Department under Panchnama dated 1-12-2006, when physical stock quantify was compared with stock shown in Daily stock account register, a shortage of 11800 Kgs. of Bronze Ingots was noticed in presence of Shri Ajay Kumar Gupta, General Manager-cum-Authorized Signatory of the unit, who admitted said shortage without giving any reasons for the same in presence of two independent Pancha witnesses. He also admitted this shortage and expressed satisfaction with the manner of taking physical stock in hi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uch an order, by all the three appellants the first appellate authority concurred with the views of the adjudicating authority and upheld the same in the impugned order. 4. Ld. counsel appearing on behalf of appellants would submit that both the lower authorities were in error in confirming the demands. It is his submission that the method of calculating the shortage of finished goods is incorrect and it has been contested by the appellants right from the very beginning. It is his submission that the appellants have been demanding worksheets attached along with panchanama when the finished goods were being weighed was not given to the appellants. It is his submission that such a huge quantity of 11.8 tons could not have been weighed w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sides and perused the records. 7. On perusal of the records, I find that there is a shortage of 11.8 tones of finished goods in the factory premises when the officers visited the said premises. Today also, there is no dispute as to the shortage of finished goods as the appellant herein is only claiming that the shortage is not worked out correctly and they are unable to ascertain the correct shortage since the Revenue has not given the calculation sheet which was drawn at the time of stock taking. In my considered view, the shortage was sought to be explained by the Manager and the Director of the company by giving an explanation that over a period of time there could be shortage due to the sizing of all the ingots manufactured by th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... such duty demand may not arise as it has to be held that deemed removal of the said goods had taken place on the date of stock taking. When the shortages of the finished goods were informed by the authorities, assessee, has discharged the entire duty liability immediately or the next day. In the absence of any evidence to show the goods were removed clandestinely, the question of payment of interest may not arise as decided by this Bench in the case of J.M. Perfumary - 2007 (216) E.L.T. 625 (Tri.-Ahmd.). To that extent, I find that the appeal of the main assessee as regards demand of the interest succeeds. 9. As regards penalty imposed on the main assessee, I find that the adjudicating authority has imposed penalty on the appellant u ..... X X X X Extracts X X X X X X X X Extracts X X X X
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