TaxTMI 
TaxTMI 
2011 (4) TMI 1100
X X X X Extracts X X X X
X X X X Extracts X X X X
....nt. [Order per : Mathew John, Member (T)]. - In this case the Revenue has made out a case against the Appellant, alleging clandestine manufacture and removal of Mild Steel Ingots during April 2005 to June 2005. It is relevant to note that the Appellants had installed induction furnace only in January 2005 and production of M. S. Ingots started from 31-1-2005 only. Further the factory had facili....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... payments should have been at this rate. Based on this calculation the SCN alleged that the Appellant had not accounted 2617.076 MTs of the total M. S. Ingots manufactured by it during the three months and the same was cleared without payment of duty. Hence duty to the extent of Rs. 73,25,719/- along with interest was demanded and corresponding penalties were proposed. 4. On adjudication the....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ething problems in production process. 6. The main defenses of the Appellants are the following : (i) During the impugned period the factory was facing teething problems in production processes and losses occurred at various stages of slag off, pouring, grinding, cutting melting heat treatment and gauging. Therefore the excess burning loss reported is bonafide ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....stine manufacture and removal. Considering the teething troubles that every factory faces in the initial months of commissioning in its production processes, something more will be required to shift the burden to the assesse to prove that there was no such clandestine activity. May be some of the other three evidences listed in SCN when seen together with this factor can shift the burden to the as....