TMI Blog1996 (8) TMI 298X X X X Extracts X X X X X X X X Extracts X X X X ..... dmanabh Dyeing and Finishing Works is in relation to Order-in-Original No. 4/MP/87 and Appeal No. E/250/87 of M/s. Padmanabh Silk Mills is in relation to the Order-in-Original No. 3/MP/87, both dated 29-1-1987 passed by the Collector of Central Excise, Vadodara. 3. The factory premises of M/s. Padmanabh Silk Mills engaged in manufacture/processing of Man-Made Fabrics were visited by the officers of the Central Excise Department on 11-6-1983 and on physical verification, they found certain discrepancies in the nature of variation in length, non-accountal in the statutory Registers etc., in relation to Lot Nos. 269, 274 and 309 and hence placed 18 pcs. admeasuring 1871.50 L. Meters under seizure. As they were in semi-finished condition, the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g various details indicating processing of the goods which on verification, were found to have been processed and removed without payment of duty. There was also a shortage of 1668.35 L. Mts. It was also revealed that the assessees had got certain quantity of fabrics - processed through various Contractors and on verification of their accounts and the other evidence, ascertained processing and removal of total quantity of 5,60,594 L. Mts. of fabrics without entry in records and payment of duty. Show Cause Notice dated 3-12-1983 was therefore issued and on adjudication the goods seized were ordered confiscation and duty demand subsequently worked out at Rs. 3,58,886/- was confirmed and personal penalties have also been imposed. 5. Mr. Will ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mises and the conclusions are mainly based on electric consumption. In his submission, the basis for drawing the conclusion is unwarranted and in support of his submission, has relied upon the judgment of Kerala High Court in George Varghese v. Collector - 1992 (60) E.L.T. 361 (Ker.) as also the orders of the Tribunal in Premier Packaging v. Collector - 1986 (26) E.L.T. 353 (Tribunal) = 1986 (8) ETR 449, Ambica Metal Works v. Collector - 1990 (29) ECR 549, System Electronics v. Collector - 1992 (20) ETR 108, Central Construction and Engineering Co. Ltd. v. Collector - 1994 (72) E.L.T. 777; K. Harinath Gupta v. Collector - 1994 (71) E.L.T. 980 and Madhu Food Products v. Collector - 1995 (76) E.L.T. 197. 8. Mr. V.K. Puri, the ld. SDR has ho ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the view as adopted by the Delhi High Court in Re : Pioneer Silk Mills (supra) appears to have been accepted as correct one, as is evidenced from the fact that subsequent to the said judgment, Section 3 of the Additional Duties of Excise (Goods of Special Importance) Act, 1957 has been suitably amended to overcome the effect of the said judgment. The amendment is neither stated to be merely of clarificatory nature, nor is made operative retrospectively. The confiscation and the penalties imposed are stated to be in relation to evasion of the Additional Duty of Excise only. The ratio of the said decision therefore would squarely stand attracted here and hence the orders of confiscation as also of imposition of penalty in relation to both th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... a particular standard has to be accepted, it has, first to be established as a standard. No data is available on record to indicate that ratio of 4.96 L. Mts. per unit in one case and 4.87 L. Mts. per unit in another case, was the standard and not a one time achievement and if the production is worked out only on that basis, there are all probabilities that the figure worked out may not be correct one. It has therefore been held - essential to have some corroborative evidence to substantiate that the consumption of electricity could be one of the justifiable criteria. The evidence of this type may be of a corroborative nature rather [than] the basic evidence. 13. The Case law cited also lays down the same and out of the decisions cited b ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
