9911796707
TMI Blog2017 (11) TMI 138X X X X Extracts X X X X X X X X Extracts X X X X ..... ppeal dismissed - decided against Revenue. - E/291/2010 - FO/76390/2017 - Dated:- 18-7-2017 - Shri P.K. Choudhary, Member (Judicial) Shri S.S. Chattopadhyay, Suptd.(A.R.) for the Appellant (s) Shri B.N. Chattopadhyay, Consultant for the Respondent (s) ORDER Per: Shri P.K. Choudhary 1. Briefly stated the facts of the case are that the respondents are engaged in the manufacturing of Un-machined Castings of Iron falling under Chapter 73 of the First Schedule to the Central Excise Tariff Act, 1985. A Show Cause Notice dated 05.05.2006 was issued proposing demand of duty of ₹ 37,90,688/- alongwith interest and to impose penalty on the ground that during the period from 2001-2002 to 2005-2006 (upto February), ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ver be derived. He further contended that the Department has proceeded on the basis of assumptions and presumptions and also filed a copy of the reply dated 26.02.2007 filed in response to the Show Cause Notice. 4. For the purpose of proper appreciation of the case the relevant findings of the Commissioner (Appeals) are reproduced below: The appellants have stated that their goods are precision castings, quality-specific for respective customers, not for general market and backed by purchase order. If that be so, department could have examined the purchase orders to see what specifications the customers wanted and how could that be related to such a low yield in respect of the kind of raw materials they used. The department did not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e. When nothing is informed in the Show Cause Notice, the arbitrary figure of 15% being untenable cannot be accepted. 5. I find that the charge against the respondent is that the clandestine removal of the goods on the basis of abnormal loss of the inputs used in the manufacture of the final products. It is seen from the records that the Revenue had not conducted any investigation and/or inquiry to ascertain the reason for low consumption of the input materials. The respondent had given explanation that the consumption of the input material is depending upon the various factors. The Adjudicating Authority had not examined the issues in detail. On the other hand the Commissioner (appeals) had given a detailed finding as mentioned above, ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
