9911796707
TMI Blog2008 (7) TMI 811X X X X Extracts X X X X X X X X Extracts X X X X ..... ve taken credit to the job worker for processing. At the time of sending the raw materials they reversed 10% value of the inputs towards credit taken by them. They have claimed to have received back the processed goods. After receipt of the processed goods they have taken the credit which they reversed at the time of sending the raw materials for job work. (b) The original authority held that they had produced certain by-products and waste which have not been received back from the job worker. Therefore, he demanded duty amounting to Rs. 17,96,000/- and also imposed equal amount of penalty. (c) Before the Commissioner (Appeals), the appellant pleaded that their duty demand has been worked out without taking into account several relevant ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... redit to the job worker for processing after reversing 10% value of the inputs towards credit taken by them. They have claimed to have received back the processed goods and taken back the credit which they reversed at the time of sending the raw materials for job work. We hold that the appellant was under an obligation to account for the entire inputs sent by them to the job worker for processing in the form of processed goods, by-products and waste. 6.2 If the by-products and waste had been cleared on payment of duty by the job worker as claimed by the appellant the same should have been reconciled by the appellant before the original authority. We find that the appellant has been producing additional evidence in instalments first before ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... not accounted for and the by-product and waste not returned back and not proved to have been cleared on payment of duty by the job worker. He shall dispose of the matter in the light of provisions contained in Rule 57F(5), (6), (8), (11) and (18) of the erstwhile Cental Excise Rules, 19944 and other applicable provision. Whether penalty is warranted and if so, to what extent shall also be decided in de novo consideration. (c) The original authority shall decide the issue within two months from the date of expiry of time limit for submission of evidence by the appellant and after granting reasonable opportunity of hearing. 8. The appeal is allowed by way of remand on the above terms. (Dictated and pronounced in the open Court on 25-7- ..... X X X X Extracts X X X X X X X X Extracts X X X X
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