https://www.taxtmi.com/caselaws?id=333931 Excise duty on alleged shortages of raw material or finished goods cannot be sustained on quantity discrepancies alone unless there is tangible, corroborative evidence of actual clandestine manufacture and removal. Third-party records and statements, without independent linkage to the assessee unit and supporting circumstances such as excess procurement, transport evidence, or sale proceeds, are insufficient to prove clandestine clearance. Cash recovered from residential premises cannot be absolutely confiscated as sale proceeds unless the clandestine removals themselves are established and the money is independently connected to those sales. Penalties founded on the same unproved allegations also fail once the duty demand is not supported by evidence. en-us Mon, 08 Aug 2016 00:00:00 +0530 Wed, 31 Jan 2018 10:29:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=333931 Excise duty on alleged shortages of raw material or finished goods cannot be sustained on quantity discrepancies alone unless there is tangible, corroborative evidence of actual clandestine manufacture and removal. Third-party records and statements, without independent linkage to the assessee unit and supporting circumstances such as excess procurement, transport evidence, or sale proceeds, are insufficient to prove clandestine clearance. Cash recovered from residential premises cannot be absolutely confiscated as sale proceeds unless the clandestine removals themselves are established and the money is independently connected to those sales. Penalties founded on the same unproved allegations also fail once the duty demand is not supported by evidence. Case-Laws Central Excise Mon, 08 Aug 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=333931