2005 (5) TMI 525

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....ng with imposition of personal penalty of Rs. 50,000/- (Rupees fifty thousand only) on the finding of clandestine removal of the coated cotton fabrics. In addition, personal penalty of Rs. 50,000/- (Rupees fifty thousand only) each, has been imposed on other two appellants under the provisions of Rule 209-A of Central Excise Rules, 1944. Shri. Austin J. Parampil is the Manager of M/s. Prabhat Industries and Shri K.M. Shah is the proprietor. 2. The appellant's factory was visited by the Central Excise Officers for preventive checks on 13-7-96 and during the course of physical verification of the stock, it was noticed that there was a shortage of 3123.4000 L. Mtrs of the coated cotton fabrics totally valued at Rs. 2,06,425/-. A pancha....

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....s. In any case, submits the ld. Advocate that there was no actual shortage and the goods were lying in their unit under the account of Railway goods, which account was not checked and verified by the preventive officers. This fact was brought to the notice of the Superintendent as soon as they come to know about the same. The other factors like, the name of the parties to whom the goods were cleared, the consumption of raw material, time and clearance of the goods is not available and in the light of the precedent decisions of the Tribunal, confirmation of demand of duty against the appellants and imposition of penalty upon them was not justified. He also referred to the Larger Bench's decision in the case of Commissioner of Central Excise,....