2008 (8) TMI 643

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....son of the same with the recorded balance, certain shortages were detected. Statement of the Director was recorded, who admitted the said shortages and deposed that they were cleared illicitly without central excise invoices and without payment of duty. The statements of Merchant Manufacturers were also recorded subsequently, who admitted having sent the grey fabrics for processing and having received the final product without payment of duty. 2. On the above basis, show cause notice was issued on 9-5-05 proposing confirmation of demand of duty of Rs. 4,01,693/- and for imposition of penalty of equivalent amount. The notice culminated into an order passed by the original adjudicating authority and upheld by the Commissioner (Appeals....

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....rence in this regard is made to the Tribunal decision in the case of Lovely Food Industries v. C.C.E., Cochin - 2006 (195) E.L.T. 90 laying down that notice issued after a lapse of three months when the Department gathered all information on their visit to factory and records were seized and statements were recorded on the same day is barred by limitation. Similarly, in the case of Decent Enterprises v. C.C.E., Hyderabad - 2006 (73) RLT 262 (CESTAT- Bang.), the notice issued on 7-1-04 in respect of shortage detected on 18-1-1999 was held as barred by limitation. The Tribunal in the case of Jetex Carburrettors Pvt. Ltd. v. C.C.E., Vadodara - 2007 (210) E.L.T. 73 (Tri.) = 2007 (5) S.T.R. 446 (Tri.) has considered all the precedent decisions a....