TaxTMI 
TaxTMI 
2009 (4) TMI 627
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.... hanks. The particulars included date of invoice, vehicle number, quantity of cotton yarn etc. and carried the initials of the accounts assistant of the assessee, the security guard and the lorry driver. Further investigation revealed that several of the slips carried the details of clearances of cotton yarn without payment of duty. The evidence gathered included statements of five of the thirty three buyers of clandestinely cleared cotton yarn and the statements of the liaison officer and security assistant of the factory. Adjudicating a notice issued to the respondents, the original authority demanded an amount of Rs. 9,43,287/- from the appellants along with applicable interest and imposed equal amount of penalty on the appellants under ....
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....ular case, it is seen that there is no statement recorded from the author of the slips relied upon as evidence in this case. No statement has been recorded from any of the signatories in the said chits except the security assistant who is working on shift basis. No statement has been recorded from either the whole time director or any other director or the factory manager or the excise accountant writing the accounts and preparing the invoices and no corroborative evidence was collected to establish the clandestine removal of cotton yarn." Appeal No. E/840/05 2. In this appeal filed by the Revenue, the ground taken is that the Commissioner (Appeals) had vacated the order of the original authority on the ground that principles of natu....
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.... therefrom. Therefore, their statements to the effect that the slips recovered indicated details of the clearance of yarn cannot be relied upon. Moreover, in view of the retraction, the statements of the buyers, which were not shown as relied upon documents in the Show Cause Notice, are not available to the revenue as evidence. In any case that evidence is not reliable. Therefore, allowing the prayer of the revenue to remand the case for fresh adjudication after allowing cross examination of these five persons, will not serve any purpose. The author of the slips was not identified and his version on the material covered by the slips not obtained. In the circumstances, I find that the Revenue has not established the case of clandestine remov....