2010 (2) TMI 1028

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....erve the respondents and if necessary to serve the notice by affixation thereof by following the procedure as prescribed under Section 37C(1)(b) of the Central Excise Act, 1944. Learned DR has informed that the directions in that regard have been duly complied with and has placed on record a copy of the report in that regard along with that of the Panchnama drawn in the presence of the panchas about the service of notice. In view thereof, it has to be held that the respondents are duly served and yet they have failed to appear before the Tribunal. 3. In view of absence of the representative on the part of the respondents, we have perused the entire records with the assistance of the learned DR. 4. The present appeal is against the order d....

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....ed the Modvat credit in relation to the inputs procured for manufacture of the final product. The show cause notice in that regard was issued on 27th December, 2000. However, the same could not be served on account of closure of the premises wherein the factory was situated. Efforts made to contact the owner of the respondents also proved futile and, therefore, the show cause notice was pasted to the main gate of the factory on 3-1-2001 in the presence of two panchas. Thereafter, a letter was received from the respondents on 30-1-2001 calling upon the Department to supply copy of the show cause notice to them. However, there was no reply filed by the respondents in the matter and even though opportunity was given to appear before the adjudi....

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....paid on inputs used in the manufacture of the specified goods cleared for home consumption, the aggregate value of first clearances of which, as calculated in the manner specified in the said Table does not exceed rupees one hundred lacs." Referring to the table it was submitted that, the clearance upto fifty lakh rupees did not carry any duty whereas clearance between fifty lakh rupees to hundred lakh rupees was subjected to 5% ad valorem duty. However, in terms of the said condition 2(iv), the manufacturer was not entitled to avail the Modvat credit unless the clearance exceeds one hundred lakh of rupees. Referring to the facts of the case, he submitted that there is a clear finding by both the authorities that the respondents did not ex....

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....scloses that, on 3-1-2001 they were fully aware about the issuance of the show cause notice to them. However, since the said show cause notice was; affixed to the door of the factory and perhaps respondent wanted to file the reply to the same, they requested for additional copy thereof. As such the affixation of show cause notice to the door of the factory of the respondents was in accordance with the provisions of law. It could not have been considered as failure of service of said notice upon the respondents on 3-1-2001. Being so, it cannot be said that the service of said show cause notice was beyond the period of limitation as is observed by the Commissioner (Appeals) and, therefore, the appellant is justified in contending that the fin....