Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2019 (2) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2019 (2) TMI 1238 - AT - Central ExciseDemand of Central Excise duty - duty free procured indigenous raw materials (Polyester Yarn - POY) - Demand on the premise that appellant had shown exaggerated production capacity with intent to procure excess duty free raw materials and had diverted the same in the open market, without payment of duty - ex-aprte order - principles of natural justice - Held that:- The order was passed ex-parte and no hearing was conducted. The repeated request of the appellant for cross-examination of witnesses whose statements were recorded, was not geven any heed. The entire case was passed on theoretical calculation made on the basis of a formula certified by the Chartered Engineer and some statements of job workers. In these facts, it was necessary on the part of the Adjudicating Authority to provide cross-examination of the witnesses and it is mandatory under Section 9D of the Central Excise Act, 1944. The impugned order passed without allowing the cross-examination and without conducting effective personal hearing is in gross violation of principles of natural justice. Therefore, the impugned order cannot be sustained - matter remanded to the Adjudicating Authority for passing a fresh order after conducting examination/ cross-examination of the witnesses - appeal allowed by way of remand.
|