https://www.taxtmi.com/caselaws?id=267799 A demand for duty, interest and penalty based on alleged shortage of inputs was held unsustainable where stock verification was not supported by reliable physical weighment and rested mainly on estimates, a chemical examination report and an input-output ratio. The assessee's explanation that material remained in heaps, some heaps were not counted, stock had deteriorated over time, and consumption was recorded on an estimated basis was found plausible. In the absence of evidence of clandestine removal or disposal outside the factory, the department had not discharged the burden of proving that the alleged shortage represented removed goods or suppressed stock; the Revenue appeal therefore failed. en-us Tue, 12 May 2015 00:00:00 +0530 Sat, 14 Nov 2015 12:18:35 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=267799 A demand for duty, interest and penalty based on alleged shortage of inputs was held unsustainable where stock verification was not supported by reliable physical weighment and rested mainly on estimates, a chemical examination report and an input-output ratio. The assessee's explanation that material remained in heaps, some heaps were not counted, stock had deteriorated over time, and consumption was recorded on an estimated basis was found plausible. In the absence of evidence of clandestine removal or disposal outside the factory, the department had not discharged the burden of proving that the alleged shortage represented removed goods or suppressed stock; the Revenue appeal therefore failed. Case-Laws Central Excise Tue, 12 May 2015 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=267799