9911796707
TMI Blog2018 (7) TMI 320X X X X Extracts X X X X X X X X Extracts X X X X ..... ained for initiation of proceedings against the appellant for raising the demand and for imposition of penalty. The department has not brought out any tangible evidence to prove that the appellants had the intention to remove goods in clandestine manner. No doubt that the investigation conducted do suggest a strong suspicion about clandestine activities but a suspicion howsoever grave cannot take the place of proof of clandestine clearance like seizure of clandestinely removed goods, seizure of cash admitted by the concerned persons to be sale proceeds of the illicitly removed goods, excess procurement of raw materials, excess power utilization, confirmation by some of the transporters and recipients to indicate that such clandestine cle ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ith interest and also imposed penalty of equal amount on the appellant firm and its partner. On appeal the Commissioner (Appeals) rejected the appeals filed by the assessee and upheld the adjudication order. Hence, the present appeal. Appeal No. E/76505-76506/2014 The appellant is engaged in the manufacture of NAS Ingot classifiable under Chapter 72 of the first schedule to the Central Excise Tariff Act (CETA), 1985. A Show Cause Notice dated 19.03.2013 was issued to the appellant company and its Director for alleged removal of goods without payment of duty and to impose penalty upon the appellant company and its Director. The Adjudicating Authority confirmed the demand along with interest and imposed penalty of equal amount on t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ure of purchase of raw-materials, use of electricity, sale of final products, clandestine removals, the mode of flow back of funds, the demands cannot be confirmed solely on the basis of presumptions and assumptions. Since clandestine removal is a very serious charge against manufacturer and the same is required to be discharged by the Revenue by production of sufficient and tangible evidence. He further submits that to find out the details of excess production, it is to be brought on record that whether excess raw-material have been purchased, dispatch particulars of finished goods from the regular transporters, realization of sale proceeds, to find out the finished product details from regular dealers/buyers and to find out the excess pow ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hortages in stock of the appellants. The demand of clandestine removal calculated on the basis of certain weighment slips and the statements recorded during the investigation. The statements of relied upon witnesses are the only evidences on record as they are only authenticating the documents recovered from the factory/office premises of the appellants. There is no evidence of any extra raw materials purchased/procured by the appellants and extra power consumption. During stock taking no excess/shortage in raw materials were found. The appellants and his employees did not admit to clandestine removal. Further, I find that the department has not brought out any tangible evidence to prove that the appellants had the intention to remove goods ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
