GST Helpdesk   Subscription   Demo   New User   Login      
Tax Management India .com
TMI - Tax Management India. Com
Extracts
Home List
← Previous Next →

2015 (9) TMI 200 - CESTAT NEW DELHI

2015 (9) TMI 200 - CESTAT NEW DELHI - TMI - Remission of duty - Auto combustion - Whether the appellant is entitled for remission of duty in case of auto-combustion which took place in the factory of appellant or not - Held that:- It is not in dispute that auto-combustion took place in the factory and molasses have been destroyed. To avoid the auto-combustion, the appellant has taken care to save the molasses. It is also on record that appellant has takes steps to save auto-combustion by way of .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

entitled for remission of duty as claimed. In these circumstances, I do not find any merit in the impugned order, same is set aside - Decided in favour of assessee. - Appeal No. E/570/2010-EX(SM) - Dated:- 8-6-2015 - Ashok Jindal, Member (J),J. For the Appellant : Shri P K Mittal, Adv For the Respondent : Shri R K Mishra, AR ORDER Per: Ashok Jindal: The appellant is in appeal against the impugned order denying remission of duty on molasses which became unusable due to auto-combustion. 2. The fa .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

11048 qtls. of molasses became unusable. The appellant intimated to the concerned authorities regarding the auto combustion which took place in tank No. 3 and filed claim of remission of duty on these burnt molasses. Claim of remission of duty was denied on the premise that appellant has not taken due care. Against the said order, appellant is before me. 3. Learned Counsel of the appellant draw my attention to the precautions taken by them to avoid auto-combustion such as spray of water on tank .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

pany Ltd. [1992 (82)ECR 246 (Allahabad)]; Balrampur Chini Mills Ltd. vs. CCE [2000 (120) ELT184 (Tri-Del)]; UP State Sugar Corporation Ltd. vs. CCE Allahabad [2001 (137) ELT 948 (Tri-Del)]; CCE vs. Kanoria Sugar and General MFG. Co. Ltd. [2013 (292) ELT 387 (Tri-Del)]. 4. On the other hand, learned AR reiterated the finding of the impugned order. 5. Heard the parties. Considered the submissions. 6. From the facts of the case, the issue arises before me is whether the appellant is entitled for re .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

en suggested by the adjudicating authority to avoid auto combustion. Therefore, remission of duty cannot be denied in the light of decisions of Hon'ble High Court of Allahabad and this Tribunal. 8. In the case of Basti Sugar Mills (supra), the Hon'ble High Court of Allahabad has observed as under: "5.....In the present case it is admitted that the molasses stored in the storage in Tanks no. 2 and 4 were destroyed. The loss occurred due to internal combustion. It is not disputed by t .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

mean that the same chemical reaction would take place in all the tanks. In that view of the matter, I hold that the petitioner had not cleared the balance of burnt molasses of 1476.302 M.T. The said quantity of burnt molasses will not be liable to duty of excise." 9. Further in the case of Balarampur Chini Mills Ltd. (supra), this Tribunal has observed as under:- "On careful consideration of the submissions made, we note that molasses is subject to dual control. Control is simultaneou .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

molasses by auto combustion. Thus, we find that there was no negligence on the part of the appellant. In this view of the matter, we hold that it was a fit case for remission of duty. In the circumstances brought out by the appellants, we hold that the demand for duty is not sustainable. Similar cases we note came up before the Tribunal and the Tribunal after examining the facts held similarly. The cases cited and relied upon by the appellant decided by this Tribunal are the case of Saraya Suga .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

for cooling down the temperature when it was rising. It is difficult to comprehend, what steps the Commissioner wanted the party to take for cooling down the temperature when it was rising in the atmosphere itself No such steps are spelt out in his order. Moreover, it is also admitted by the Commissioner in his order that the appellants were not entitled to remove/dispose off even a gram of molasses except in accordance with the orders of Controller of Molasses, as per the provisions of U.P. She .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

isions cited supra have constantly been upholding the appeals of the manufacturers for remission of duty in similar cases. In this view of the matter, we are of the view that this is a fit case for remission of duty and the confirmation of duty and imposition of penalty by the Commissioner are not warranted. ....." 11. In the case of Kanoria Sugar and General MFG. Co. Ltd. (supra) again this Tribunal has observed as under: "5. We have considered the submissions made by ld. AR. It is un .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 



|| Home || Acts and Rules || Notifications || Circulars || Schedules || Tariff || Forms || Case Laws || Manuals ||

|| About us || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members || Site Map ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.

Go to Mobile Version