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2007 (11) TMI 160

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..... adhwa, Member (J) and Shri M. Veeraiyan, Member (T) [Order per: M. Veeraiyan, Member (T)].- 1. This is an appeal against the order of the Commissioner No. 19/DEM/VAPI/2003, dt. 29-12-2003. 2. Heard both sides. 3. The relevant facts, in brief, are as follows (a) In the midnight of 4/5-6-2001, a fire accident took place in the factory premises of the appellant which resulted in damage to finished goods valued Rs.2,85,01,556/- and inputs valued Rs.4,48,42,787/-. The appellant applied to the Commissioner for remission of duty. (b) Commissioner vide his order dt. 29-12-2003 denied the remission of duty sought for and confirmed a demand of Rs.45,60,249/- on finished goods valued at Rs.2,85,01,556/-. He also demanded interest under Section .....

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..... the P. U. section of the factory. Moreover, the assessee have not produced any documentary evidence showing that there were 32 fire extinguishers installed in their factory and even the same were refilled by them before 4-5 months. It is also significant to mention that the assessee is not able to clarify as to why such huge quantities of finished goods were stored in the areas which were more vulnerable to the accident of fire. As such the said quantity of finished goods should have been stored by them in the safer place like finished goods godown. It is also pertinent to say that the assessee has simply put forth the reason of fire as short circuit, however as has been deposed by their works manager that the P. U. section where the fire .....

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..... e Commissioner to deny remission is not acceptable. 6.3 The decision relied by the Advocate support the case of the appellant for remission. The relevant portion of the order of the Tribunal in the case of M/s. Milton Plastic Industries is reproduced below :- "6. We have considered the submissions made by the learned SDR and also the grounds taken in the appeal. We find that in this case the main is sue is, whether the fire accident which took-place in the factory of the appellant was due to natural cause or by unavoidable accident. We find that the Commissioner in his order has given a finding that some employee of the appellant's factory had not switched off the lights at 1730 hrs. when he left the factory premises. However, we find tha .....

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