https://www.taxtmi.com/caselaws?id=88165 A duty demand based on alleged storage or reprocessing loss is unsustainable where the show cause notice does not disclose the basis of computation and the adjudication travels beyond the notice. The Revenue bears the burden to establish the factual foundation for the alleged shortage or loss, particularly when the assessee attributes it to natural causes such as the hygroscopic nature of brown sugar. Jurisdiction to examine the dispute is not excluded merely because the loss arose in storage or processing if the wider issue of excisability and dutiability is also in question. The principle stated is that a demand must rest on disclosed grounds and proved facts. en-us Tue, 17 Feb 1998 00:00:00 +0530 Thu, 15 Sep 2011 15:16:20 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=88165 A duty demand based on alleged storage or reprocessing loss is unsustainable where the show cause notice does not disclose the basis of computation and the adjudication travels beyond the notice. The Revenue bears the burden to establish the factual foundation for the alleged shortage or loss, particularly when the assessee attributes it to natural causes such as the hygroscopic nature of brown sugar. Jurisdiction to examine the dispute is not excluded merely because the loss arose in storage or processing if the wider issue of excisability and dutiability is also in question. The principle stated is that a demand must rest on disclosed grounds and proved facts. Case-Laws Central Excise Tue, 17 Feb 1998 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=88165