TMI Blog2005 (7) TMI 13X X X X Extracts X X X X X X X X Extracts X X X X ..... 849.68 on illicit clearances of 9387 rigid PVC pipes, (b) confirmed duty demand of Rs. 7,20,502/- on 60,300 kgs of PVC resins and 3,050 kgs calcium carbonate (inputs/raw materials) found short during search; (c) confirmed duty demand of Rs. 1,27,643.68 on illicit clearance of PVC pipes as per Annexure C to the show cause notice; (d) confirmed demand of Rs. 19,60,001.93 on illicit clearance of PVC pipes as per Annexure D to the show cause notice; (e) confiscated seized quantity of 2,094 rigid PVC pipes with option to redeem them on payment of a fine of Rs. 1,10,000/-. (f) confiscated seized quantity of 2,600 kgs of inputs with option to redeem them on payment of a fine of Rs. 40,000/-; (g) confiscated land ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... oth sides and record our findings as under. 5.Demand on finished goods found short on stock verification is sustainable in view of the admission of such shortage by Shri Nambiar. The contention of M/s. Plastotex (Bombay) Pvt. Ltd. that stock of some finished goods was stored in the adjoining compound of M/s. Omniplast (Bombay) Pvt. Ltd. and vice versa and that shortage found in one premises was off-set by excess stock found in the other premises is not acceptable for the reason that in the case of M/s. Plastotex, the comparative chart furnished by them only covered six varieties of pipes and out of that, stock tallied only in respect of 2 varieties whereas stock variation was noticed in respect of 31 varieties, while in the case of M/s. O ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he General Manager. The Commissioner has dealt with the entries in these booklets and found that they show production of PVC pipes by the appellants during the period in dispute. Annexure C has been prepared on the basis not only of these booklets but also on the basis of production reports containing file No. 823 seized from the factory or the appellants. The booklets contain details of date-wise and shift-wise production of different sizes of PVC pipes of ISI specification. These booklets also contain details such as rejection and despatch record. The submission of the appellants that the statement of Shri Nambiar has been retracted and therefore cannot be relied upon is not acceptable to us for the reason that several statements of Shri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e admission of the General Manager regarding illicit production and clearance but also for the reason that details of date-wise and shift-wise production are contained in the booklets which have been relied upon by the Commissioner for coming to the conclusion that there was clandestine manufacture and clearance of PVC pipes. This feature distinguishes the case law relied upon by the learned counsel for the appellants. The further argument that, in any event, the demand is to be reduced for the reason that the registers relied upon by the department contained details of production for April 1994 to November 1994 while the demands in the present case cover the period only from July to November 1994 has also been dealt with by the Commissione ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... final products. However, in the totality of the facts and circumstances of the case, we reduce the penalty on M/s. Plastotex (Bombay) Pvt. Ltd. to Rs. 3,00,000/- (Rupees three lakhs) and the penalty on M/s. Omniplast (Bombay) Pvt. Ltd. to Rs. 4,00,000/- (Rupees four lakhs). As regards penalty on the General Manager, Shri A.C.B. Nambiar, while holding that he is liable to penalty, we reduce the penalty to Rs. 10,000/- (Rupees ten thousand) in each case. 10.In the result, we uphold the duty demands in both cases, set aside confiscation of goods (both raw materials as well as finished products) and of land/plant/building/machinery, reduce the penalties to the extent set out above and partly allow the appeals. - - TaxTMI - TMITax - Centra ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
