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TMI Blog2003 (11) TMI 140X X X X Extracts X X X X X X X X Extracts X X X X ..... s like tank operation report and dip mills and detected certain quantities of said excisable goods from their stock account. On being queried on the said terms 'migration', it was clarified as under as recorded in the impugned order of the Commissioner :- "All the storage tanks of the Refinery are segregated for storage of different commodities. There are particular cluster of tanks for a particular product. Such tanks of a cluster are all inter-connected by pipe line through which receipts and despatches of finished products are effected. All tanks are also segregated from each other by putting isolation valves in between the piping connections, so that one tank may be kept for receipt while the other may be kept for preparation and blen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the fresh receipt to manufacture finished product." 3. Thereafter some correspondence was exchanged between the appellant and its jurisdictional range officers. The appellants were ultimately issued a show cause notice on 21-7-88 raising demand of duty of Rs. 74,09,829.76 in respect of various products for the period May, 1985 to March, 1987 along with proposal to impose personal penalty upon them. During the course of adjudication the appellant took a number of pleas and contended that they have as many as 150 storage tanks for storing mineral oil products and tanks of one group are inter-connected by inlet pipes as well as by outlet pipes and in some cases by re-circulation pipes and the product from the one tank may move to another tan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... gal obligation to follow the procedure prescribed for the purpose. As the assessee did not follow the prescribed procedure in respect of the excisable goods in question and did not account for the excisable goods in question and allegedly shown the subject goods as "Migration", without keeping any statutory records, they have rendered themselves liable for payment of duty on the quantity of the petroleum products which are not accounted for in the satisfaction of the proper officer, of course, subjected to limitation of the period as indicated hereinbefore. The Supdt. of CE Range-I Handia Refinery in his letter C.No. M.Oil/MDR/I/87/629, dated 11-3-87 wrote to the assessee and requested them to apprise him with clarificatory details as to th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of another tank to manufacture finished product, which in turn has suffered central excise duty on actual removal from the refinery. The issue of valve leakage was beyond control of the appellant and as such the non-compliance with the Central Excise Rules relating to obtaining of prior permission were on account of the practical difficulties. In any case the demand for a particular period is time-barred. 6. Shri T.K. Kar, ld. SDR appears for the Revenue and reiterates the reasoning of the Commissioner. 7. We have considered the submissions made by both the sides and have gone through the impugned order passed by the Commissioner. It is seen from the paragraph reproduced above that the Commissioner is confirming demand of duty of Rs. 14 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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