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TMI Blog2016 (12) TMI 380X X X X Extracts X X X X X X X X Extracts X X X X ..... crap (Pig Iron) 123.550 125.000 1.450(+) - - Finished goods 1. Steel Short (HAL 0 to HAL 4) 34.950 68.375 5.387(-) 1,18,272 18,923 Steel Shorts (HAL 5 to HAL 8) 26.151 Steel Shorts (HAL 9 to HAL 11 12.650 2 Steel Grits G 1 90 to 3) 2.800 55.750 0.200(-) 3,900 624 Steel Grits G4 to 6) 18.050 Steel Grits G7 to 10) 35.100 3 Runner/Risers 4.750 4.750 Nil Nil Nil 4 Cl Shots SAI-10-14 1.490 2.050 0 540(-) 7,560 1 ,209 Cl Shots SAI-05-09 0.600 Cl Shots A11.2-04 0.500 5. CIGrits-G120-G3 2.150 5.200 o.146(-) 1,898 303 CI Grits-G04-G-6 1.350 CI Grits-G04-G-6 1.846 6. Steel Ingots 32.250 22.536 9.714(-) 1,13,887 18,222 7. Waste % Scrap 1.000 1.000 - - - 2. The department undertook investigation and came to the conclusion that the assessee has cleared inputs on which Cenvat c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... otebook which were not mentioned in the sale invoices. These entries pertained to clearances of finished products such as M.S. ingots, runners and risers and also scrap. Several entries pertained to receipt of sale proceeds and also clearance of such raw materials. Officers also recovered some loose papers wherein date wise particulars of raw material and finished goods cleared, numbers of trucks used for transportation and names of the suppliers were also mentioned. 6. The officers cross verified the entries in the note book No.1 recovered from the factory premises of M/s. SAIL and compared the same with the particulars of sale invoices and prepared charts listing out the entries where goods have been cleared but invoices have not been issued. Shri N.P. Tekriwal, Director was shown these charts and note books recovered. After interrogation his statement stands recorded on 7.6.2003 in which, he admitted that entries in the tabular chart were pertaining to the clearances made by the assessee without issuance of Central Excise invoice and without payment of Central Excise duty. He further admitted that they have moved raw materials without any documents between M/s Steel Abrasive In ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he date wise receipt of raw material and clearances of finished goods with and without payment of duty. (iii) Shri N.P. Tekriwal, Director has given confessional statement dated 7.6.2003 in which he has expressed his satisfaction with the procedure of stock taking and admitted the shortages noticed in respect of raw materials as well as finished products. He has further admitted that private records recovered contained details of receipt of raw materials and finished products cleared with and without payment of duty. He has admitted the details in the tabulation chart prepared by the Revenue on the basis of the private records recovered from the factory. The statement of Shri Tekriwal has never been retracted; consequently it is a piece of evidence. They have cited the Supreme Court decision in the case of CCE Vs. Systems & Components Pvt. Ltd. [2004 (165) ELT 136 (SC)] to support their view and what is admitted need not be proved. (iv) The demand is not time barred; but for the investigation conducted by the department, evasion of duty would not have been detected. Therefore, this is clear case of suppression of facts wherein the extended period of limitation is invocable. 10. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as six private note books have been recovered by the officers from the premises of M/s. SAIL. The entire demand is based on the entries found in the note book as well as on the confessional statement of the Director. Out of the notebooks recovered, the notebook No. 1 relates to entries of receipt of raw materials as well as clearance of finished products of M/s Hi-Tech Abrasives Ltd. It is on record that the departmental officers have compared entries found in the note book No.1 with the invoices on record for clearance of finished products. Charts have been prepared by listing all those clearances which have been made without issuing invoices; such charts have been show to the Director Shri Tekriwal. After considering the chart as well as private note book in his statement, the Director dated 7.6.2003 has admitted that the notebooks contained details of clearances of raw material and finished products - both on payment of duty and otherwise and also receipt of unaccounted raw materials. He further admitted the clearances listed out in the charts as having been made without payment of duty. Duty demand raised in the Show Cause Notice and confirmed the order in original are o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s from the department and certainly the extended period of limitation is invocable in this case and hence the demand cannot be held to be time barred. 17. The assessee in his counter has pointed out some instances in which the calculation of demand is not proper. They have argued that from the private notebooks, while calculating the demand, accounted clearances have not been deducted. In the grounds of appeal filed by Revenue, it is argued that Commissioner (Appeals) could have remanded the matter for correction of such errors. 18. In the facts and circumstances of the present case, I find that the Commissioner (Appeals) order setting aside the demand is not proper. The demand is based on evidence which stands admitted by Director based on private records recovered from the assesses' factory. There is nothing on record to the effect that statements relied upon have been extracted under duress. The Director also has voluntarily stated that he is satisfied with the manner of stock taking and search. 19. The case laws relied upon by the assessee are dealing with cases wherein demands have been dropped on various grounds. But every case of suppression of facts has to be evaluated o ..... X X X X Extracts X X X X X X X X Extracts X X X X
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