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TMI Blog2005 (1) TMI 299X X X X Extracts X X X X X X X X Extracts X X X X ..... nts (from whom evidence was collected). This does not have the sanction of law. Admittedly, the period of dispute in these cases is prior to 28-9-1996, the date on which Section 11AC came into force. It is settled law that Section 11AC has no retrospective effect. Therefore, we find that the department's proposal for imposing penalties on the respondents u/s 11AC was rightly dropped by the Commissioner. Thus, we reject these appeals. - SHRI P.G. CHACKO, MEMBER (J) AND JEET RAM KAIT, MEMBER (T) Shri A. Jayachandran, JDR, for the Appellant. Shri N. Venkatraman, Advocate, for the Respondent. ORDER These are appeals filed by the Revenue against an order passed by the Commissioner of Central Excise vacating certain demands of duty raised o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r factories were seized. Shortages of goods were also found, which were admitted by the respective parties. From the results of investigations, it appeared to the department that clandestine clearances of fireworks had been effected by the respondents during the period 1-4-1992 to 6-11-1996. It further appeared that the respondents had suppressed material facts before the department. Accordingly a show cause notice was issued on 26-3-1997, invoking the proviso to Section 11A(1) of the Central Excise Act, to recover duty on the goods alleged to have been clandestinely removed during the above period. The notice also invoked Section 11AC of the Act to impose mandatory penalty on the respondents. The seized goods were proposed to be confiscate ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in Annexure to the show cause notice and collected the differential amount separately. (d) Whether they had adopted standard price as per the company s printed price list and suppressed the price in the invoices listed in Annexure to the show cause notice and collected the differential amount separately. It has been submitted by ld. Counsel that on issues (a) and, (b), the respondents have no contest, while on issues (c) (d) they do have a valid contention. Ld. Counsel has submitted that the issues (a) (b) are based on positive evidence gathered by the department, whereas the rest of the issues have been raised in relation to that part of the demand of duty which is not supported by any such evidence. It is the case of ld. Counsel that the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dence. It is based on an assumption that the respondents might have cleared fireworks (without payment of duty) to certain agents (from whom no evidence was gathered) in the same manner as they cleared to other agents (from whom evidence was collected). This does not have the sanction of law. We have already stated this position categorically in Paragraph 7 of our Final Order No. 864-874/04 ibid, which is extracted below. We have carefully considered the 7. submissions made by both sides and gone through the case records. We note that in the de novo proceedings, the Commissioner has clearly stated that enquiry has not been carried out so as to cover all the dealers who have placed purchase orders on the Fireworks factories on the basis of w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... by way of receipt of DDs showing the DD numbers and the amount. Therefore, the assessees also cannot be heard to say that the demand now confirmed is without the support of evidence. We, therefore, reject this plea. Going by the evidence on record which have been re-evaluated by the Commissioner and considering the totality of the facts and circumstances of the case, we are of the considered opinion that the orders of the Commissioner reflect application of mind. Therefore, no fault can be found with the de novo orders passed by Commissioner restricting the demand. 7. We do not think that the case law cited by ld. DR will come anywhere near the point we have dealt with. The decision in Roxy Enterprises (supra) was cited in support of the R ..... X X X X Extracts X X X X X X X X Extracts X X X X
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