TMI Blog2009 (6) TMI 910X X X X Extracts X X X X X X X X Extracts X X X X ..... on, the learned Commissioner should consider such compelling reasons before coming to any conclusion - appeal allowed by way of remand. - E/81/2009 - 892/2009 - Dated:- 23-6-2009 - Shri T.K. Jayaraman and M.V. Ravindran, JJ. Shri M.G. Varadarajan, Advocate, for the Appellant. Shri. K.S. Srinivasa, JDR, for the Respondent. ORDER This appeal is directed against Order-in-Original No. 24/2008, dated 8-12-2008. 2. The brief facts that arise for consideration are applicant had applied for permission to store non-duty paid goods outside the factory under provisions of Section 4(4) of the Central Excise Rules, 2002 vide their letter Nos. AL : Fin-100-08 and AAL Fin: 120-08 dated 21st August, 2008 and 9th September, 2008, respect ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... asoning for not granting the permission to store the non-duty goods outside the factory premises. 6. The assessee in his written submission dated 10-11-2008 has stated that there is a gradual increase in sales over the last few years as a result they are forced to keep stock of finished goods and hence they are facing shortage of space. In my view, Rule 4(4) of Central Excise Rules, 2002 covers situations where shortage of space is caused under exceptional circumstances which are unforeseen and are of temporary nature and these circumstances warrant that the assessee is compelled to store the non-duty paid goods outside the factory premises. For example, in a case where an assessee has manufactured additional quantity of goods due to lar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... easoning given by the learned Commissioner seems to be misplaced inasmuch as that the shortage of space is a fact which is not denied by both the assessee as well as Revenue. Though the provisions of Rule 4(4) of Central Excise Rules covers situation where shortage of space is caused under exceptional circumstance which are unforeseen and are of temporary in nature, the learned Commissioner could have looked into this case, as per the directions given by the CBEC vide Circular No. 206/40/96-C.E., dated 1-5-1996 which talks about permission to store the goods outside the factory premises and such permission should be considered as extension of factory premises. In our opinion, this issue needs reconsideration by the learned Commissioner. The ..... X X X X Extracts X X X X X X X X Extracts X X X X
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