2010 (10) TMI 131 - MADRAS HIGH COURT

Clandestine removal – Shortage of goods - stock verification disclosed a book stock of 1214.579 metric tons when the physical stock available was only 123.500 metric tons of clinkers - shortage of clinkers at the time of inspection was noted based on the stock register, that such inspection was carried on in the presence of the senior officials, who did not raise any protest at the time of stock taking - actual manufacture of cement not brought into accounts – Held that: - The inference drawn by the second respondent based on shortage of clinkers and the excess quantity of limestone quarried during the relevant period was sufficient enough for the authorities to conclude as to the ultimate quantity of Portland cement which could have been produced from such excess quantity, which were not noted in the stock register, was well justified and we do not find any illegality or irregularity in such a conclusion drawn by the authorities for the levy of duty and the demand of duty imposed