https://www.taxtmi.com/caselaws?id=126064 Clandestine manufacture and clearance cannot be established on statements alone; the department must support the charge with objective corroborative evidence such as raw material consumption, power usage, installed capacity, and other production indicators. On the facts noted, the assessees' production and power records, together with their explanation regarding some clearances through dummy invoices, defeated the broader allegation of excess clearances except for a limited excess in one financial year. Where clearances of an alleged dummy unit are proposed to be clubbed with another entity, the affected unit and its partners must be put on notice; absent such show cause notice, the clubbing exercise and consequential demand and penalties are unsustainable. en-us Tue, 03 Mar 2009 00:00:00 +0530 Mon, 31 Jul 2017 11:37:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=126064 Clandestine manufacture and clearance cannot be established on statements alone; the department must support the charge with objective corroborative evidence such as raw material consumption, power usage, installed capacity, and other production indicators. On the facts noted, the assessees' production and power records, together with their explanation regarding some clearances through dummy invoices, defeated the broader allegation of excess clearances except for a limited excess in one financial year. Where clearances of an alleged dummy unit are proposed to be clubbed with another entity, the affected unit and its partners must be put on notice; absent such show cause notice, the clubbing exercise and consequential demand and penalties are unsustainable. Case-Laws Central Excise Tue, 03 Mar 2009 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=126064