https://www.taxtmi.com/caselaws?id=330431 A duty demand and penalty based on alleged shortage of raw materials and finished goods was rejected because the stock verification was only an estimated approximation, using average weight of a few bundles. The shortage was not admitted in the relied-upon statement, the accounts were regularly maintained, and no irregularity was shown. In the absence of corroborative evidence of clandestine manufacture or clearance, such as proof of production, transport or buyers, mere estimated shortage was held insufficient to sustain a finding of clandestine removal. The demand and penalty were therefore set aside in favour of the assessee. en-us Fri, 15 Jul 2016 00:00:00 +0530 Wed, 04 Jan 2017 14:24:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=330431 A duty demand and penalty based on alleged shortage of raw materials and finished goods was rejected because the stock verification was only an estimated approximation, using average weight of a few bundles. The shortage was not admitted in the relied-upon statement, the accounts were regularly maintained, and no irregularity was shown. In the absence of corroborative evidence of clandestine manufacture or clearance, such as proof of production, transport or buyers, mere estimated shortage was held insufficient to sustain a finding of clandestine removal. The demand and penalty were therefore set aside in favour of the assessee. Case-Laws Central Excise Fri, 15 Jul 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=330431