TMI Blog1998 (1) TMI 339X X X X Extracts X X X X X X X X Extracts X X X X ..... d search was conducted. As a result of search, two exercise books were recovered from the above premises of M/s. Agarwal Steel Trading Co. Apart from this, exercise books maintained privately by the appellant and Indian Currency of Rs. 9,72,000.00 was also recovered cumulatively, from the official/residential premises of M/s. Agarwal Steel Trading Company. Another firm by the name and style, M/s. Durga Steel Trading Co. is also working from the official premises of M/s. Agarwal Trading Co. After looking into the cash balance of M/s. Durga Steel Trading Co., Indian Currency to the tune of Rs. 6,54,000.00 was released to M/s. Durga Steel Trading and the balance amount of Rs. 3,18,000.00 which was neither accounted for in the Cash Books of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the Central Excise Rules, 1944 for contravention of the provisions of Rule 57GG. Apart from this, the appellants Dealership Licence has also been ordered to be cancelled by the adjudicating authority under Rule 174 of the Central Excise Rules, 1944. 4. I have heard the submissions made by the learned Counsel, Shri B.N. Chattopadhyay for the appellants and the learned Departmental Representative, Shri R.K. Roy. 5. On going through the Order passed by the adjudicating authority and after hearing the submissions made by both sides, I find that the allegations against the appellants are based upon the two private exercise books recovered by the Officers from the possession of the appellant firm. The contention of the appellant firm that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ans have been raised. Two lists based upon these private records as well as on the statutory records, have been prepared by the Department and apart from two consignments, no other entries tally with each other. No satisfactory explanation was put forth by the appellants as regards the maintenance of these private exercise books. I also find that Shri Pawan Kumar Agarwal, Partner of the appellant firm in his written statement dated 20-12-1995 has very clearly stated - I have been shown two seized records bearing No. 23/Resd/ASTC/95 and 24/ Resd/ASTC/95 seized on 6-9-1995 and in reply to a specific question they have to state that these records are Stock Register/Material Register of M/s. Agarwal Steel Trading Co. However, Shri Durga Prasa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 20-12-1995, giving details of the modus operandi adopted by the appellant firm, when the statement makes a number of disclosures which are corroborated by the statements of the other co-noticees and also by the other independent evidences on record in the shape of the private exercise books. But the mere fact of retraction, if any, would not make the statement as involuntary, having been given under duress or coercion, in the absence of any evidence to that effect. Reference, in this connection, is made to the Tribunal s decision in the case reported in 1998 (99) E.L.T. 658 (Tri.) = 1997 (23) RLT 555 (CEGAT) wherein relying upon the Supreme Court s decision in the case of Surjeet Singh Chhabra reported in 1997 (89) E.L.T. 646 (S.C.) = 1996 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on of a registration certificate cannot be affected on breach of other provision of the Act or the rules. It must be a breach of the conditions of the Act or the rules, relating to registration certificate. Section 6 of the Act merely provides that registration has to be done by a person engaged in production or manufacture of any excisable goods or in any process thereof, or in wholesale purchase or sale or the storage of any specified goods in the manner as prescribed under the rules. There is no other condition relating to registration in the Act. Rule 174 provides, as apparent from a cursory glance, inter alia, several conditions relating to registration. Form of registration certificate may provide some conditions. It is not alleged at ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ferring to the sub-rules of Rule 174 which lays down the condition to be followed by the registered persons. However, there is a distinction between the expression provisions of the Act and conditions of the Act . The said sub-rule using the expression breach of any condition is definitely referring to the conditions as laid down in Rule 174. In view of above clear position of law, I do not find any question of law as raised by the applicant-Commissioner as worth referring to the Hon ble High Court. Consequently, both the Reference Applications are rejected. 12. In view of the above Order, I agree with the submissions made by the learned Consultant, Shri Chattopadhyay and quash the revocation of the licence as ordered by the adjudic ..... X X X X Extracts X X X X X X X X Extracts X X X X
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