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2017 (6) TMI 470 - AT - Central ExciseConfiscation of Indian currency from the father of sole proprietor of assessee - confiscation with redemption fine and penalty - shortage of cpooer-scrap from factory premises of appellant-assessee - case of Revenue is that the said currency was the sale proceeds of goods cleared clandestinely - Held that: - it is not clear as to whether actually a physical weighment has been made of the stock of raw-material. Admission of the authorized representative by signing the Panchnama is the sole reason recorded by the original authority to uphold the shortage of raw-material. Even considering that there is such shortage, that cannot be automatically converted into a charge of un-accounted manufacture and clearance of excisable final product. - The appellant – assessee indicated that the records maintained by Shri Girish Chand as a labour contractor is with reference to number of labourers working per heat in the appellant - assessees’ unit. We find that these basic facts were not examined in right prospective and commented upon by the original authority. This has significantly weakened the case of Revenue. The case of un-accounted manufacture and clearance is built upon certain sketchy evidences as narrated above, without any concrete corroboration. While the cases of clandestine removal cannot be precisely proved with 100% corroborative evidences, it is essential to have at least standard evidence which will clearly show the existence of un-accounted manufacture and clearance - In the present case, whatever evidences formed basis for the case of the Revenue are falling short of minimum requirement of credible case of clandestine removal. Since the case against the appellant-assessee could not be established regarding un-accounted clearances, the seizure and confiscation of Indian Currency and penal proceedings against the appellant – assessee will also fail. Demand for un-accounted clearance of copper wire rods - Held that: - It is clear that on physical verification of the premises of the appellant – assessee on 21.05.2005, no rolling mill was installing in the factory. No evidence has been placed in the proceedings before the lower authority to the effect that the appellant – assessee got wire rods manufactured by using some other’s facility. As such, we find no merit in the appeal by the Revenue. Appeal allowed - decided in favor of appellant-assessee.
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