9911796707
TMI Blog2003 (12) TMI 559X X X X Extracts X X X X X X X X Extracts X X X X ..... ing mills. Appellant opted for this scheme and filed the requisite data about the particulars of the mill. Accordingly, under an order dated 20-11-97, the annual capacity of production of the steel mill was determined as 1113.990 MT. This order was passed based on the parameter of the re-rolling mill declared by the assesee inter alia 152 mm and 'd' factor finishing mills and 0.375 'I' factor. However, when subsequently, Central Excise officers visited the Mill on 20-2-98 and verified the particulars of the Mill they found the 'd' factor to be 167 mm and 'I' factor to be 0.394 mm. The higher specifications indicate higher capacity of production. Proceedings were therefore, initiated to recover the differential duty as payable based on the h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . Learned Counsel also drew our attention to the reference in the capacity determination order to "verification carried out by the Range Officer of Central Excise Range II, Mandi Gobindgarh, the relevant parameters of the re-rolling unit as". It is the learned Counsel's submission that in view of the specific observation regarding "verification" of the parameters, it was not right or proper on the part of the Commissioner to record a finding that from the beginning the parameters of the re-rolling mill was at the revised higher rates. 4. Learned SDR would contend that the appellant's explanation regarding repair of the mill on 14-2-98 is not reliable. Learned SDR has pointed out that internal contradiction in the appellants' explanati ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uty demand prior to the date of the order is not justified. The assessee's version about repair on 14-2-98 also cannot be accepted in the light of the various discrepancies like intimation not being received by any of authorities, the silence of the bill of Champion Industries about supply of temporary replacement gear, the failure of Shri Suresh Kumar to mention the dispatch of the letter on 20-2-98. In these circumstances, we hold that duty demand based on the higher annual capacity of production as applicable to the higher 'd' and 'i' parameters is sustainable only for the period subsequent to the passing of the original order of determination of annual capacity by the Commissioner in November, 1997. We are informed by the representative ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
