Clandestine removal demand upheld where seized premises records, production data, and an un-retracted admission proved duty evasion.

A central excise demand for clandestine removal of M.S. ingots was sustained where seized records from the assessee's own premises, including a private ledger, were corroborated by electricity consumption and production data showing suppressed output and removal without duty. The assessee's statement was treated as an admissible un-retracted admission, and together with the documentary record it was sufficient to prove suppression and clandestine clearance. The Tribunal distinguished cases based only on third-party records and upheld the demand.

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Issues: Whether the demand of central excise duty on alleged clandestine removal of M.S. ingots was sustainable on the basis of the private ledger, seized documents from the appellant's premises, the electricity and production records, and the appellant's statement.

Analysis: The documents relied upon were recovered from the appellant's own premises and not merely from a third party, and they were supported by a comparison of furnace capacity, electricity consumption, and production records, which indicated suppression of production and removal of finished goods without payment of duty. The appellant's statement was treated as an admissible admission, there being no retraction, and the record was held sufficient to corroborate the charge of clandestine clearance. The Tribunal distinguished cases where demands had failed because they were based only on third-party records.

Conclusion: The duty demand was upheld and the challenge to the order failed.

Final Conclusion: The appeals were not accepted because the material from the appellant's own premises and the admitted statement were held sufficient to sustain the excise demand for clandestine removal.

Ratio Decidendi: A demand for clandestine removal can be sustained where seized records from the assessee's own premises, production and electricity data, and an un-retracted admission together establish suppression and removal without payment of duty.

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