9911796707
TMI Blog1984 (2) TMI 242X X X X Extracts X X X X X X X X Extracts X X X X ..... or of Central Excise, Calcutta. 2. The dispute arose when officers of the Central Excise checked the records of production of paper from April-July 1971 and found that the factory had recorded the quantity of paper manufactured in the R.G. 1 account from the "Accepted Weight" shown in the daily reports known as weighment sheets. The officers found that the weighment sheets have been prepared datewise with running serial numbers showing among other things, lotwise nominal weight and actual weight, variation between the two shown either as under weight or over weight as the case may be. Efforts were made by the company to show in the records that the lots have been weighed completely and in cases where the variation between the nominal weigh ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ght in the invoice was determined on the challan weight. The chargeable weight shown in the challans was determined on the basis of scaling weight and if the scale weight was within 2½% of the nominal weight the nominal weight was taken as chargeable weight, while if the scale weight was more than 2½% of the nominal weight, the scale weight was taken as chargeable weight. The representative also testified that the challan weight and the gate passes weight always agree except in cases where scale weight was beyond 2½% of nominal weight. 3. It was revealed to the officers during their investigations that the challans and gate passes were sent by the firm from the factory to their Head Office for preparation of invoices a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g for paper is one which had been followed by the paper industry for a long time. A good deal of arguments were made by the learned representative of the appellants but for purposes of the matter before us, the only aspect that we need to attend to is whether there was really a loss of duty, granted the practice in the paper industry. The appellant, M/s. Titaghur Paper Mills Co's Counsel did not dispute the fact that it had been charging the customers on actual weights when the actual weights were higher than the nominal weight by more than 2½% and they also accept the fact that the duty was charged in such cases from the customers as if it was payable on the actual weight. But the factory paid the duty to the treasury on the nominal ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... learned counsel was misconception on the part of their dealing clerks who showed the nominal weight. 7. It is not possible to understand the argument of the appellants. The weight shown in the challan is the same weight as shown in the bills and which were charged for. But the records show that the charged weight or chargeable weight that has been shown in the challan is different from the weight cleared under gate passes. The invoices supported the charges because they indicate the prices and the duty on chargeable weights shown in the challans and this is the basis for the department's calculation of the goods actually removed from the factory. The department has brought out that the company enclosed copies of gate passes in their bills ..... X X X X Extracts X X X X X X X X Extracts X X X X
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