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TMI Blog2022 (2) TMI 359X X X X Extracts X X X X X X X X Extracts X X X X ..... e of the same quality and the processing tank is also common in the factory as it is not possible to manufacture goods separately. Further, the Tribunal analysed the total consumption of LAB and Sulphuric Acid during the material period and took note of the ratio adopted and on facts held that there is hardly any difference between the ratio adopted for their own manufacture and conversion job - the Tribunal concluded that without any evidence on record the allegation of clandestine removal cannot be made. The Tribunal rightly granted the relief to the assessee as allegation of clandestine removal is a very serious charge and the onus of establishing the same is first on the department and upon the onus being discharged in the manner com ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... resented regarding its own production and conversion job as well as consumption of raw material and spending of the by-products ? iii) Whether the respondent had clandestinely cleared the finished goods ? The Commissioner of Central Excise, Kolkata-III issued show- cause notice stating that the assessee is liable to pay additional excise duty on account of clandestine removal of the products manufactured by them. The assessee's explanation was that the consumption of product LAB and Spent Sulphuric Acid during the material period and the ratio of LAB to LABSA and ratio of Spent Sulphuric Acid was almost the same in respect of the manufacturing activity done by the assessee for themselves and the activity done for conversion job. I ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lurry or LABSA 90%, nor the department has produced any evidence or referred to any material to show how excess amounts of LAB has been brought into the factory and how the same were removed after being manufactured into LABSA. Thus, the Tribunal concluded that without any evidence on record the allegation of clandestine removal cannot be made. In our considered view, the Tribunal rightly granted the relief to the assessee as allegation of clandestine removal is a very serious charge and the onus of establishing the same is first on the department and upon the onus being discharged in the manner common to law, then and then only the burden of proof shifts to the assessee. In the instant case, admittedly there was no material on record es ..... X X X X Extracts X X X X X X X X Extracts X X X X
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