2011 (3) TMI 1209

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....fficers of the DRI conducted simultaneous search at the premises of the appellants, namely, (1) M/s. Pratibha Ispat Pvt. Ltd. (manufacturer of MS bars/rods), (2) M/s. Balaji Steels (broker) and (3) M/s. Anand Transport (transporter) on 06/02/2006 on the basis of intelligence received relating to clandestine clearance of iron and steel products facilitated through brokers and transporters.  When the search was going on at the premises of Balaji Steels, a person named Ravi Sharma, working with the appellants, entered the premises and handed over some documents to Mr. Sanjay Mittal, who was the proprietor of M/s. Balaji Steels and cash amounting to Rs. 21,06,000/- was found in the premises.  Since Mr. Sanjay Mittal could not explain ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... the show cause notice dated 02/02/2007, in para 17 thereof, which has been stated as follows: "17. Detailed investigations on the basis of the said sized incriminating documents are still in progress, for a quantification of the over-all Central Excise duty liability of the said assessee, including for the past period, if any." When the investigations were in progress and no decision has been arrived at regarding clandestine production or removal and liability to confiscation of the goods cleared, the order passed by the lower adjudicating authority and appellate authority are premature and without coming to conclusion of liability to confiscation of the goods involved no penalty can be imposed under Rule 26/27 of the Central Excis....