9911796707
TMI Blog2017 (6) TMI 995X X X X Extracts X X X X X X X X Extracts X X X X ..... ant Shri S. Govindarajan, AC (AR) for the Respondent ORDER Per Bench The appellant is engaged in manufacture of poly propylene woven sacks and supply the same to M/s. V.V. Minerals, herein after referred to as VVM. On the basis of information that the appellants are under-invoicing the goods cleared to VVM and also undervaluing the sale of scrap resulting in unaccounted cash, the premises of the appellant was searched. Basing upon the documents recovered, statements recorded as well as the statements recorded by the income tax authorities, a show cause notice was issued raising the above allegations and demanding duty of ₹ 2,73,642/- and to impose equal penalty besides proposing to impose personal penalties. After due ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er that the statement recorded under Section 132 of the Income Tax Act, 1961 has evidentiary value only for the proceedings under the Income Tax and cannot be used or relied upon for any other purpose. The appellants relied on the judgment in the case of Commissioner of Central Excise Vs. Laxmi Engineering Works - 2001 (134) ELT 811 and Commissioner of Central Excise Vs. Haracharan Brothers - 2004 (168) ELT 454 . It is submitted that the order is based on assumptions and presumptions and that the entire show cause notice was issued without proper investigation. 3. The learned AR Shri S. Govindarajan reiterated the findings in the impugned order. 4. We have considered the submissions made by learned AR as well as the written s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... irectors as directed by them. The statement recorded from Shri S. Jaishankar working as PRO in the appellant-company has stated that a cheque of ₹ 10,50,000/- was drawn in his name and he had presented the cheque for payment and the amount was given to Shri G.P. Ramaraj of JBL. Similar statements have been given by other employees Sivaraman, Manager (Finance) and Ganesan etc. The department has conducted investigations with regard to the bank account and found that there has been withdrawal of amount by these employees. All these would sufficiently prove the allegation raised in the show cause notice that the appellant has been under-invoicing the goods and receiving the consideration by way of cash, thus thereby not accounting the cl ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
