TaxTMI 
TaxTMI 
2013 (11) TMI 1289
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....r Metal Industries (hereinafter referred as RMI) along with confirmation of interest and imposition of penalty of identical amount. In addition, penalties of varying amounts stand imposed upon other applicants. 2. We have heard learned Advocate appearing for the applicants and learned D.R. appearing for Revenue. M/s. RMI are engaged in manufacture of TMT Bars under the brand name of 'Kamdhenu'. Their factory was visited by DGCEI on 14/15.9.2010 and various search operations were carried on. Incriminating documents were recovered from their factory and certain discrepancies were found in the stock of finished goods as also raw material. As the appellants were using the brand name of M/s. Kamdhenu Ispat Ltd., under a deed of agreement, acc....
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.... reflected as credit in the account of Kamdhenu. At the end of month, depending upon total production, royalty amounts were being calculated and the same were being debited and shown as debit entries in the account maintained by Kamdhenu. The Revenue has taken both entries collectively and has wrongly come to a finding that they have made excess royalty payment to Kamdhenu. Particularly, taking the example of the month of April, 2008, he submitted that the payment made by cheque to Kamdhenu on 4.2.2008 was of Rs. 4 lakhs and at the end of the month i.e. on 30.4.2008, total royalty was to the tune of Rs. 3.84 lakhs (approximately), which after addition of service tax, came to be approximately 4.28 lakhs. The said amount was shown as debit en....
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....ds absolutely confiscated by the Commissioner. He submits that there is no justification for confiscation of Indian currency and as such the same should be treated as deposit towards confirmed demand for the purpose of Section 35F of the Act. He prays for dispensing with the condition of pre-deposit of balance amount of duty and penalties. 4.3 Learned Advocate also submits that during the course of investigation Revenue has made inquiries about the receipt of raw material. Even if the allegations regarding receipt of unaccounted raw material are accepted, at this interim stage the duty amount is bound to be less than Rs. 1.5 crore approximately. 4.4 On being questioned learned Advocate fairly agrees that there is no financial hardship....
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....ory records. The fact that the some of the entries made by the appellant in their statutory record tally with the transporter's booking register entries, is itself reflective of the fact that other entries which are not reflected in the statutory record, also belong to the appellant only. As such, he submits that the appellants be directed to deposit the entire dues. 6. We have considered the submissions made by both sides. We find that the allegations and findings against the appellants are of clandestine activities. The details examination of the submissions made by both sides can be done only at the time of final disposal of the appeal. At this stage, we are of the prima facie view that the appellants M/s. Raghuveer Metal Industries L....