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2012 (6) TMI 758 - AT - Central ExciseRemission of duty - loss of molasses due to leakage - Held that:- After the accident, was reported to the Department, the officials from the Commissionerate visited the factory of the appellant. There is nothing on the record that the excise team on inspection found some mischief or reported that the accident was not genuine. Thus, there is no dispute regarding the loss of molasses. As regards, the plea that the accident was avoidable it is sufficed to say that every accident is on account of lack of precaution on the part of the personnel responsible for avoiding such incident. Nobody deliberately would indulge in an exercise which may result in huge loss. Therefore, we are of the view that interpreting Rule 21 of the Central Excise Rules, the authorities are required to be liberal otherwise restrictive construction to Rule 21 would make it inoperable and redundant. In our aforesaid view, we are supported by the judgment of Hon’ble Rajasthan High Court in the matter of Union of India v. Hindustan Zinc Ltd. (2008 (10) TMI 63 - HIGH COURT RAJASTHAN). Commissioner ought to have allowed the remission of excise duty particularly when there is no evidence to show any mala fide intention to evade the excise duty - Decided in favour of assessee.
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