TMI Blog2019 (10) TMI 1417X X X X Extracts X X X X X X X X Extracts X X X X ..... would show clandestine manufacture of goods, as was reiterated by Tribunal, Delhi in the case of C.C.E. S.T. -RAIPUR VERSUS P.D. INDUSTRIES PVT. LTD. [ 2015 (11) TMI 455 - CESTAT NEW DELHI] . The order confirming the recovery from the Company of appellant and imposition of penalty upon the appellant has no legal basis to sustain - Appeal allowed - decided in favor of appellant. - Excise Appeal No.50075 of 2019 [SM] - FINAL ORDER No. 51592/2019 - Dated:- 30-10-2019 - MRS. RACHNA GUPTA, MEMBER (JUDICIAL) Ms. Jwaria Kainaat, Advocate for the Appellant Mr. Pradeep Gupta, Authorised Representative for the Respondent ORDER Appellants herein are the manufacturers of MS ingots falling under Chapter 72 of Central Excise A ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ery of Central Excise duty of ₹ 5,24,318/- from them alongwith the interest and the penalty on the appellant company and penalty on the Director Shri Chaitanya Garg. The said proposal was initially dropped by the Assistant Commissioner, Raipur vide order No.88/Adj/AC/D-I/2017 dated 31.01.2018. Against the said Order-in-Original, Department filed appeal before Commissioner (Appeals), however, Commissioner (Appeals) vide impugned Order-in-Appeal allowed the appeals filed by Department. Being aggrieved, an appeal was preferred by the assessee before this Tribunal. 3. I have heard Ms. Jwaria Kainaat, ld.Counsel for the appellants and Mr. Pradeep Gupta, Authorised Representative for the Revenue. 4. It is submitted on behalf of the ap ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ve supplied unaccounted raw-material to M/s. PIL. The order under challenge has discussed the clear involvement of the appellant facilitating the clandestine removal of the finished goods to M/s. PIL. There is no infirmity in the order under challenge. Same is, accordingly, prayed to be upheld. 6. After hearing the rival contentions of both the sides, I hold as follows:- Since the sole challenge to the order is its reliance upon third party evidence, it is necessary to check the evidentiary value of the third party evidence. The relevant case law in the case of Bajrangbali Ingots Steel Pvt. Ltd. Suresh Agarwal vs. CCE, Raipur in Appeal No. E/52062 52066/2018 heard on 16.11.2018, which is held as follows:- 9. The law i.e. as ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 016 (340) ELT 249 (Tri.-Del. ). Earlier also in the case of Continental Cement Company vs. Union of India reported in 2014 (309) ELT 411 (All.), Hon ble High Court of Allahabad has held:- 12 . Further, unless there is clinching evidence of the nature of purchase of raw materials, use of electricity, sale of final products, clandestine removals, the mode and flow back of funds, demands cannot be confirmed solely on the basis of presumptions and assumptions. Clandestine removal is a serious charge against the manufacturer, which is required to be discharged by the Revenue by production of sufficient and tangible evidence. On careful examination, it is found that with regard to alleged removals, the department has not investigated the fo ..... X X X X Extracts X X X X X X X X Extracts X X X X
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