TaxTMI 
TaxTMI 
1993 (2) TMI 187
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....plicable to like matters in respect of duties of excise by Notification No. 68/63, dated 4-5-1963 issued under Section 12 of the Act :- I. Goods detained/seized from the delivery van No. MMP 799 dated 16-4-85/18-4-85 respectively. Description Quantity (Kgs.) Value (Rs.) Polyvinyl Acetate Dispersion (Modified) 1,110 28,860.00 II. Goods detained/seized from the factory premises of M/s. Nevichem Synthetic Industries Pvt. Ltd. on 16-4-1985/18-4-1985 respectively. Polyvinyl Acetate Dispersion (Modified) 5,400 1,40,400.00 III. Goods seized from the premises of M/s. Nevichem Agencies on 18-4-1985. Polyvinyl Acetate Dispersion (Modified) 5,771.60 Rs. 1,50,061.60 Total ....
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....ty paid PAD manufactured by the appellants and subsequently sold to NA. 4. The allegation is based on an Exercise Note Book recovered from the appellants during the search in which entries relating to production during certain batches have been found for the period 16-3-1985 to 12-4-1985 during which period no entries were made in the RG1 Account. In his statement dated 25-9-1985, Shri Navnit H. Joshi, one of the Directors of the appellant company, had confirmed on being shown this Exercise Note Book that 5 batches of PAD each consisting of 1030 Kgs. were manufactured during the period from 16-3-1985 to 31-3-1985 (total quantity 5150 Kgs.) and 7 batches (total quantity 7210 Kgs.) were manufactured during the period 1-4-1985 to 16-4-1985 ....
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....rgument is that the entries do not reflect the production, but only the commencement of the batch. The recovery of duty in respect of batches taken for manufacture on 30-3-1985 and 31-3-1985 will not be desirable inasmuch as the production can only be obtained after 16 to 20 hours and as such, the goods could not be produced for modification earlier than 1-4-1985. The further claim is that the appellants became eligible for fresh exemption from duty on PAD in the financial year which commenced on 1-4-1985 under Notification No. 85/85, dated 17-3-1985 and, the quantity of PAD which actually got manufactured on and from 1-4-1985 should not be denied exemption by treating the entries upto 31-3-1985 to be relatable as the production of the prev....
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....52A prohibited delivery of excisable goods except under a Gate-Pass and this requirement was, therefore, applicable even to goods which were not dutiable or exempt. He cited the decision of the Karnataka High Court in the case of Karnataka Cement Pipe Factory Industrial Estate v. Supdt. of Central Excise, [1986 (23) E.L.T. 313], in which it was held that 'excisable goods' do not become non-excisable after exemption. The proviso to sub-rule (2) made it clear that a Gate-Pass had to be issued even for goods removed for captive consumption within the factory for manufacture of other goods. It was, therefore, a mere technical requirement of the law. Similarly, the provisions of Rule 173Q were also applicable to removal of excisable goods in con....