https://www.taxtmi.com/caselaws?id=172447 Earlier stock shortages cannot be retrospectively adjusted against later stock positions to sustain confiscation or penalty when the Department has treated the recorded books as correct for the earlier demand; the later verification must be tested on the unadjusted records as they stood on that date. Where excess finished goods broadly correspond with short raw material, the raw material demand may be displaced to that extent because the correlation supports the explanation that the goods were manufactured from the short inputs. Unexplained shortages and excess goods may still justify confiscation and related penalties for the sustained part of the demand. en-us Mon, 06 Apr 2009 00:00:00 +0530 Mon, 11 Jul 2016 17:19:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=172447 Earlier stock shortages cannot be retrospectively adjusted against later stock positions to sustain confiscation or penalty when the Department has treated the recorded books as correct for the earlier demand; the later verification must be tested on the unadjusted records as they stood on that date. Where excess finished goods broadly correspond with short raw material, the raw material demand may be displaced to that extent because the correlation supports the explanation that the goods were manufactured from the short inputs. Unexplained shortages and excess goods may still justify confiscation and related penalties for the sustained part of the demand. Case-Laws Central Excise Mon, 06 Apr 2009 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=172447