9911796707
TMI Blog2014 (7) TMI 524X X X X Extracts X X X X X X X X Extracts X X X X ..... ng in the factory got damaged due to water. As such, observation of Commissioner (Appeals) that no intimation was filed with Police cannot be appreciated - Police officer informend Revenue that report of loss of material was given however, since he was not present therefore, there is no record of it. Revenue's entire case is based upon the factum of work-in-progress goods shown as physical loss in the balance sheet. Apart from contending that such loss is much on the higher lower side, and as such creates doubt and there is virtually no evidence to show that said goods were fully manufactured by the appellant and were cleared without payment of duty. The charges of clandestine removal being serious charges are required to be assessed by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... such intimation was received by them. Such report of the Police Station was again shown to Shri Praveen Khandelwal who said that a report has been given by them and he is unable to comment upon the denial of the same by the Police Station. 3. On the above basis, Revenue entertained a view that appellants have sold the said goods clandestinely without payment of duty amounting to ₹ 17,49,504/-. Accordingly, the show cause notice was issued to them on 30.3.06 proposing to confirm the demand as also to impose penalties. The said demand was made by invoking the longer period of limitation. 4. Show cause notice was adjudicated by the original adjudicating authority, who dropped the same by observing that there is no evidence of cland ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ng that on 10.3.01, the factory was opened and it was found that the same was flooded and approximately 200 MT material lying in the factory got damaged due to water. As such, observation of Commissioner (Appeals that no intimation was filed with Police cannot be appreciated. It is further seen that when the inquires were made by the Excise department with the fire department Shri R P Yadav, Police fire officer, Bareilly he informed the Deputy Commissioner of Central Excise as under: 1. On 10.3.2001 owner Sunil Mehta reported in police station regarding damage of approx. 200 MT material. 2. It was Holi holiday factory was lying closed on 9.3.2001 water pipes remained open and water got accumulated. The generator wa ..... X X X X Extracts X X X X X X X X Extracts X X X X
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