TMI Blog2005 (7) TMI 546X X X X Extracts X X X X X X X X Extracts X X X X ..... umar Dey, C/o. MSP Sponge Iron Pvt. Ltd., Haldiaguna, PO-Goberdhan, Dist. Keonjhar, Orissa - 758 013; (3) Shri Sanjay Kumar Sahoo, C/o. MSP Sponge Iron Pvt. Ltd., Haldiaguna, PO-Goberdhan, Dist. Keonjhar, Orissa - 758 013 are disposed off. All these Applications were admitted under Admission Order No. A-15/CEX/2005 - SC (KOL), dt. 30-5-2005. 2. Acting upon an intelligence, on 29-7-2003, Officers of the DGCEI, EZU, Kolkata conducted simultaneous searches at the office and factory premises of the above firm. Based on the evidence collected by the DGCEI from seized documents and statements of concerned persons, a Show Cause Notice was issued to the applicants alleging removal of 929.535 MT of Sponge Iron evading Central Excise duty to the tu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the SCN. 4. Report under Section 32E of the C.E. Act, 1944 was called for, which was received on 11-04-2005 from the Addl. Director, DGCEI, Kolkata. In the said report it was stated as follows : (i) The stand of the assessee that the demand amounting to Rs. 47,272/- on account of shortage of 59.090 MT of Sponge Iron will amount to double taxation was not acceptable as no evidence supporting their claim could be shown by the assessee at the time of investigation, and even in their application made under Section 32E of the Central Excise Act. (ii) The DGCEI officers during their search operation recovered records containing details of unaccounted production and clandestine removal of Sponge Iron which showed that the amount of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in the aforesaid period from the respondent Commissioner, it would be deemed that this amount has been duly appropriated by him towards C.E. duty. 7. The Settlement Commission, having thus acquired exclusive jurisdiction in terms of Section 32I of the C.E., Act, 1944, requisitioned relevant records/documents. In reply, the Jt. Director, DGCEI, Rourkela, acting on behalf of the Commissioner of C.E., Bhubaneswar-II Committee informed, under his letter DGCEI F.No. 24/DGCEI/RKL/INT/2003/790, dt. 7-6-2005, that all the relevant records/documents had already been submitted by the assessee M/s. MSP Sponge (P) Ltd. at the time of submission of Paper Book to the Customs Central Excise Settlement Commission, and that there was no further document ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... from their buyers and thus did not derive any financial accommodation at the cost of Govt. Revenue. In reply to further query, he submitted that the Director of the Company sits far away from the factory, and thus not being directly involved in day-to-day activity at the factory, was not personally responsible for the evasion of duty. (v) The ld. Advocate relied upon precedences of orders/judgments and submitted that since they cooperated with the Commission and made full and true disclosure of duty liability, immunity from imposition of fine, penalty, interest be granted and a refund of Rs. 1,77,162/- being the difference between Rs. 10,00,000/- (deposit) and Rs. 8,22,838/- (duty demanded/payable) should be allowed. 9. Shri Asit K ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of Rs. 10,00,000/- should be adjusted as follows - (i) Rs. 8,22,838/- was directed to be adjusted from the deposit of 10,00,000/- under Admission Order No. A-15/CEX/2005-SC (KOL), dt. 30-05-2005. (ii) Rs. 1,77,162/- is lying with the respondent Commissioner of C.E., Bhubaneswar-II Commissionerate after adjustment of the aforesaid duty amount from the amount of Rs. 10,00,000/- deposited by the main applicant. Interest - The appellants are granted immunity from payment of any interest in consideration of merit of the case as well as in view of maintaining parity with the published decisions given by other Benches of the Commission on similar facts and circumstances of the case. Fine and penalty - The Commission extends immunit ..... X X X X Extracts X X X X X X X X Extracts X X X X
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