TMI Blog2015 (9) TMI 1208X X X X Extracts X X X X X X X X Extracts X X X X ..... es that the pillow sold were old and damaged. Appellants have also not been able to produce any evidence in support of their contention that the pillow were old and damaged. No statutory or other records could be produced by them which would indicate that the pillow manufactured in 1994 were lying with them till 1999. Normal price at which such pillow were being sold will be the correct assessable value for the goods in question. Accordingly, on merits, we find that the case made by the revenue is correct and we therefore uphold the same. The contention of the appellant was that the extended period of limitation cannot be invoked as all the information was available with the department. We are not impressed with the said argument. The ap ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 94 and were badly damaged and so they sold these pillows in 1999 at low rate of ₹ 10 per pillow. However, he could not justify from the records vis. RG-1 that the said pillows were lying with them for the last 5 years. In his statement, Shri Parikh admitted that it was not possible to correlate and give proof of stock of product in question. Further, the invoices issued did not indicate that the pillows being sold are old and damaged. After investigation, a demand notice was issued demanding differential duty and proposing penalty interest etc. the case was adjudicated by the Asstt. Commissioner who vide order dated 22.11.2004 confirmed the demand of ₹ 143293/- equal amount of penalty under Section 11AC and interest under Sectio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... her hand, submitted that the conduct of the appellant from the beginning was evasive. During investigation, the excise in charge had promised to produce the documents but did not respond to the number of summons and finally after one year appellant informed them that the said official has left the unit. Similarly, the Finance Manager also did not respond to summons and later on when he appeared he tried to mislead the department by bringing in theory of old and damaged pillow. It was submitted that the invoice nowhere indicate that the pillow sold were old and damaged. Further, appellant were not able to produce any statutory or other records to prove that the said pillows were lying with them for over 5 years. It was also submitted that th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... are not sold within reasonable time. It was also submitted that RG-1 account is already with department and internal production report was also submitted. It is also submitted that it is for the revenue to prove the date of manufacture is not 1994 as is held by the Tribunal in the case of Continental Engg. Industries P. Ltd. vs. CCE reported in 1989 (42) ELT 14. 5. We have considered the submission made by both sides. 6. Firstly, we observe the present case pertain to the period 1999 when the old Section 4 was in force and the concept was of the normal value of the goods and not of the transaction value. We also note that at the time of issuance of the show-cause notice itself revenue has claimed that the normal value of the said pil ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... year 1994 and continued to remain in stock till the year 1999. However, Shri M.J. Parekh FAILED TO ESTABLISH the basic requirement that there was a non moving stock of the said luxury pillows (17 X 27 ) in the factory for the year 1994 to 1999. He also admitted in his statement dated 16.09.2003 that it was not possible to correlate and give proof of the stock of luxury pillows (size 17 X 27 ) in the factory in support of his earlier claim that the goods were manufactured during the year 1994. 7. Ld. counsel's contention is therefore rejected. There is no evidence that RG-1 register are with Revenue. On the contrary, during investigation Shri Parikh was asked to justify from the RG-1 register and he failed to do. Similar is the p ..... X X X X Extracts X X X X X X X X Extracts X X X X
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