https://www.taxtmi.com/caselaws?id=110937 In the absence of contemporaneous commercial evidence, inconsistent invoicing, unexplained shortages and corroborative surrounding circumstances were treated as sufficient to support a finding of clandestine manufacture and removal, and the corresponding duty demand was sustained. The separate demand based on shortage of inputs was excluded because that shortage was treated as indicative only of consumption in the clandestine production process, not as an independent recoverable liability. Penalties were considered justified in light of the fraudulent record-making, but the company's penalty was reduced having regard to the reduced duty liability and interest, while the director's penalty was sustained due to direct involvement. en-us Fri, 20 Feb 2004 00:00:00 +0530 Thu, 19 Apr 2012 12:37:40 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=110937 In the absence of contemporaneous commercial evidence, inconsistent invoicing, unexplained shortages and corroborative surrounding circumstances were treated as sufficient to support a finding of clandestine manufacture and removal, and the corresponding duty demand was sustained. The separate demand based on shortage of inputs was excluded because that shortage was treated as indicative only of consumption in the clandestine production process, not as an independent recoverable liability. Penalties were considered justified in light of the fraudulent record-making, but the company's penalty was reduced having regard to the reduced duty liability and interest, while the director's penalty was sustained due to direct involvement. Case-Laws Central Excise Fri, 20 Feb 2004 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=110937