TMI Blog2015 (11) TMI 314X X X X Extracts X X X X X X X X Extracts X X X X ..... e. Law mandates that what that is manufactured and cleared is to be accounted in the statutory record and anything cleared unaccounted not suffering excise duty is questionable. - there was an established case of issuance of parallel invoices by appellant with same numbers. Those were recovered from the four buyers aforesaid. That proved quantum of unaccounted transactions entered into between the appellant and those buyers. - At no point of time the appellant discarded the evidence gathered by investigation to defend against issuance of parallel invoice nor demolished the stand of investigation adducing any evidence to the contrary. Burden of proof was discharged by Revenue. Allegation of clandestine removal was established from cogent evi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . It is specific argument on behalf of appellant that so far as demand of ₹ 4,57,228/- is concerned that relates to the allegation of shortage of stock of 68.625 MTs of ingots and 71.510 MTs of billets and duty thereon was demanded to the above extent. Penalty and interest was also levied. 3. So far as the rest of the demand of duty of ₹ 8,80,037/- covered by Sl. No. (ii) to (v) of para 1 aforesaid is concerned, that arose on allegation of clearance of steel products to M/s. Sri Lakshmi Steels, M/s. South India Steels and M/s. Sree Sakthi Steel as well as to M/s. Pournami Steels. The allegation of the Department was that there were parallel invoices issued by appellant and those were found in the course of investigation from ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er dealt the issue and without appropriately converting the quantity of the ingots and billets inventorised in the course of investigation into MTs, reached to the conclusion that there was shortage of 68.625 MTs of ingots and 71.510 MTs of billets. His conclusion is incorrect in absence of any rational basis for conversion of the quantity expressed in terms of numbers into weight of the goods in terms of MTs. Due to absence of such basis appellant has been seriously prejudiced. 5. Revenue on the other hand submits that entire order of the appellate Commissioner is correct because he has afforded reasonable opportunity of hearing to the appellant and each item of the demand as has been extracted at the outset was examined by him and appr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ved the same to various parties without raising invoices / and also clandestinely removed the goods more than once on an Invoice already raised, without accounting for the same and without payment of central excise duty to M/s. South India Steel Corporation, Erode, M/s. Sakthi Steels, Coimbatore, M/s. Pournami Steels, Marthandam, M/s. Sri Lakshmi Steels, Coimbatore. The fact of the above clandestine removals have been corroborated from the respective purchase bills seized from the above parties under Mahazar with that of the actual details written in the respective Purchase Note Books of them. Corroboration has also been done on comparison of the Sales Invoices raised by NGA with that of the trip details of vehicles owned by Shri D.Murugesa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... espect of unaccounted clearance made by it and duty thereon not paid. Invoices issued with same numbers were corroborated when transport documents were examined. Revenue brought out its case in para 24 of the adjudication order very neatly and precisely. Therefore, the adjudicated demand of duty of ₹ 8,80,037/- in respect of unaccounted clearances made to four buyers as aforesaid sustains with consequence of law to apply. No interference to the order passed by learned Commissioner (Appeals) is therefore called for. However, the appellant shall get concessional penalty as has been recorded by learned Commissioner (Appeals) in absence of any good reason shown by Revenue at this stage to deny the same. So also in absence of appeal by Rev ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tness to the quantity of goods found during inventory and the inventory memo shows quantities of each type of goods found. Whether the quantity so found by the formula adopted by investigation was the methodology followed by appellant to mention in its return filed before the excise authority warrant consideration. If that method is followed to disclose the tonnage of the goods manufactured and cleared in its returns furnished to the excise authorities, then the appellant cannot press to follow BIS norm to determine the shortage in terms of MTs. 10. The authority shall follow the above guideline to determine the alleged shortage of goods found during inventory. Granting fair opportunity of hearing to the appellant on the limited issue of ..... X X X X Extracts X X X X X X X X Extracts X X X X
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