1998 (2) TMI 191

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....lak, JDR, for the Respondents. [Order]. -  This is an application for waiver of duty demand of Rs. 2,45,243/- and a penalty of Rs. 1 lakh. 2. The applicants are engaged in the manufacture of arc welding electrodes and working under the Modvat scheme. On 7-6-1991 the officers of Central Excise visited the factory of the appellant and inquired about the import of Nickel Powder whi....

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....w) appearing on behalf of the appellant and submits that demand is based on presumption and assumption and is not based on cogent evidence. He further submitted that adjudicating authority admitted that two drums of Nickel Powder were found in the production section. These drums were also seized alongwith the 24 drums and later on after verification these drums were released to the applicants. He ....

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.... slip. He also admitted that sometimes their store department supplies the material which were of not any use. He also admitted that similar useless material was received by them in the production section which was lying in these 24 drums and as per arrangement such raw material is kept in production section for sometime and subsequently sent to scrap yard. He also explained that this arrangement ....