TMI Blog2002 (9) TMI 166X X X X Extracts X X X X X X X X Extracts X X X X ..... was surrendered and the firm started availing SSI exemption under Notification No. 16/97, dated 1-3-1997. On 17-9-1997 the factory premises of the firm was raided by the central excise officers who seized some incriminating documents from their factory premises as well as from the residential premises of Shri Mukul N. Shah, appellant No. 2, partner of the firm. The scrutiny of the documents revealed the clandestine removal of the goods by the appellants, without payment of duty. The manner in which the clandestine removal of the goods was carried out by them, during the years 94-95 to 97-98, was disclosed by Shri Rakesh Kumar Pandey, Manager of the firm. He, in his statement, disclosed that the goods in question (acid slurry) were removed o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... time of search. These diaries contained entries relating to all kinds of business of chemicals carried out by him and his firm appellant No. 1. The photocopies of those entries had been also placed on the paper book, by the appellants. We have perused those entries with the help of both the sides. But we find that entries made therein are vague and the detailed description of the goods of various types produced or cleared had not been given therein. The names of the `parties to whom the goods were cleared had also not been mentioned. Only from the entries, it could not be even inferred that these related to the disputed goods i.e. acid slurry. There is no evidence on record to suggest if any discrepancy regarding production and clearance of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... stries v. Collector - 1996 (82) E.L.T. 347. 8.In K. Rajagopal v. Commissioner - 2002 (142) E.L.T. 128 (Tri.) = 2002 (102) ECR 469, it has been also observed by the Tribunal that entries in the seized note book are not conclusive evidence to prove the clandestine removal unless corroborated from other evidence such as, purchase of raw material, removal of goods through any transporter etc. This very view has been taken in Deena Paints v. Commissioner - 2001 (43) RLT 805. 9.In the instant case, the alleged entries in the diaries recovered from the premises of the appellant No. 2 do not, in any manner, establish the clandestine production and removal of the disputed goods, by the appellants, during the disputed period. There is no corrobor ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ts. The statement of the informer was never recorded in respect of those duplicate invoices. No statement of buyers to whom the goods were allegedly supplied through those invoices, was recorded. From the evidence, brought on record, in our view, it could not be concluded that the appellants were involved in the issuance of duplicate invoices and clearing the goods in a clandestine manner. The allegation of clandestine production and clearance of goods, by the appellants, do not stand proved beyond doubt. We are unable to uphold the impugned order of the Commissioner. 12.Consequently, the impugned order of the Commissioner is set aside. Both the appeals of the appellants are accepted with consequential relief. - - TaxTMI - TMITax - Ce ..... X X X X Extracts X X X X X X X X Extracts X X X X
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