2002 (2) TMI 487 - AT - Central Excise

Appellate Tribunal remands Central Excise duty case for show cause notice verification.

The Appellate Tribunal CEGAT, New Delhi allowed the appeal of M/s. Ginvic Steels Pvt. Ltd. regarding Central Excise duty on alloy steel ingots, remanding ... Service of notice under Section 37C - affixing notice to factory gate - time bar of demand under Central Excise Act - principles of natural justice - remand for fresh adjudicationService of notice under Section 37C - affixing notice to factory gate - time bar of demand under Central Excise Act - principles of natural justice - Whether the show cause notice dated 17-12-97 was validly served by affixing it to the gate of the appellant's factory and whether the demand based on that notice is within time - HELD THAT: - The Tribunal recorded conflicting contentions: the appellant stated it never received the show cause notice dated 17-12-97, while the department maintained the notice was pasted on the factory gate and that a panchnama was prepared. The factual question whether the notice was in fact affixed is material because it affects the computation of limitation for the demand under the Central Excise Act. In view of this unresolved factual dispute and the appellant's plea of non-receipt, the matter required fresh verification of the alleged service and an opportunity for the parties to be heard. The Tribunal therefore directed the Adjudicating Authority to furnish a copy of the panchnama by which the department asserts the notice was affixed, and to adjudicate the case afresh on all relevant aspects in accordance with law and observing the principles of natural justice.Matter remanded to the Adjudicating Authority with direction to produce the panchnama and to adjudicate afresh on all aspects, observing principles of natural justice; appeal allowed by way of remand.Final Conclusion: The appeal is allowed by way of remand: the Adjudicating Authority is directed to furnish the panchnama evidencing affixation of the show cause notice and to re-adjudicate the matter afresh on all issues in accordance with law and principles of natural justice. The Appellate Tribunal CEGAT, New Delhi ruled in the case of M/s. Ginvic Steels Pvt. Ltd. regarding Central Excise duty on alloy steel ingots manufactured by a job worker. The Tribunal remanded the matter to establish if the show cause notice was received by the appellant and directed a fresh adjudication. The appeal was allowed by way of remand.