TaxTMI 
TaxTMI 
2014 (6) TMI 384
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....is-a-vis the recorded balance as per RG-1Register. This stock verification was done on presence of Sh. Uttam Chand Ranka, Director of the appellant unit, and after stock verification a chart was prepared showing shortage of 10.150 MT of MS angles which was signed by Sh. Ranka and as such there was no protest by Sh.Ranka at that time that the weighment was not been done in a satisfactory manner or that the same is not correct. Sh.Ranka was, thereafter, questioned about contents of these two paper slips and in his statement, stated that Central Excise Officers showed him a loose slip of stamped with name 'Capital Ispat Limited' stamped unit that it contains details of clearances of the goods through two vehicles on 30.06.08, that in the first vehicle bearing registration no. RJ 01 R3963, 3.200 MT of MS angles were cleared and in the second vehicle bearing registration no. RJ 14R 1288, 6MT of MS angles were cleared that while invoice no. 60 dt. 30.06.08 was issued for 3.200MT of angles, no invoice has been issued for clearance of 6 MT of angles mentioned in the slip and that part of the shortage of 10.15 MT of angles is because of this, he put his signatures on the slip in token of ha....
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....f Rs. 2,82,703/- based on alleged non-accountal of 77.755 MT of MS Ingots, out of this quantity, 47.715 MT of MS Ingots, which according to the Department has been received from S.S. Steel and are not accounted, had actually been received from M/s. Oswal Steel and have been duly accounted in Form-IV Register, that in view of this, the duty demand based on alleged un-accounted receipt of 47.715 MT of MS angles is also not sustainable, that in any case, the loose paper slips do not pertain to the appellant as the same were not been seized under Panchnama and hence no reliance can be place on the same, that the Tribunal in case of Sunhill Ceramic Pvt. Ltd. Vs. CCE, Rajkot, reported in 2007(217) ELT-353 has held that merely on the basis of loose papers recovered from the premises of transporter and without any other evidence, the duty demand cannot be confirmed against the assessee, that Tribunal in the case of DPS Industries Vs. CCE, Allahabad, reported in 2007(218) ELT-242 (Tri.-Del.) has held that merely on the basis of private records, allegation of clandestine clearance cannot be upheld, that the Tribunal's judgment in case of Superking Manufacturers (Tyres) Pvt. Ltd. reported in ....
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....ister is not correct and this point was examined by the Commissioner (Appeals) in detail and he has held that the value of the consignments of the same weight received from M/s. Oswal Steel are different from S.S.Steel and these paper slips had been recovered from the premises of the appellant which is clear from the resumption memo and that the shortage of 10.150 MT of MS angles is based on actual weighment. He, therefore, pleaded that there is no infirmity in the impugned order. 5. I have considered the submissions from both the sides and perused the records. 6. The first component of duty demand 68,376/- is based on alleged shortage of 10.150 MT of MS angles. It is not disputed that the stock taking had been done in the presence of Sh. Ranka, director of the appellant company and in his presence a chart had been prepare regarding the weight of the stock of MS angles and this chart had been signed by Sh. Ranka without expressing any dis-satisfaction about the manner of weighment and correctness of stock taking. If according to the appellant, the weight of the MS angles in stock was determined without actual weighment and the same was not correct, the appellant should have r....
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....ground that the value of the two consignments are different. I agree with the Commissioner (Appeals) findings on this point. Thus the 77.755 MT of MS ingots mentioned in the paper slip as received from S.S.Steel had not been accounted for and hence duty demand of Rs, 2,82,703/- on the finished goods made out of these unaccounted ingots has been correctly upheld. 8. The loose paper slips, in question, containing details of clearance of finished goods on 30.06.08 and details of receipt of MS ingots from S.S. Steel have been recovered from the factory premises of the appellant. Therefore in term of the provision of Sec 36A of the Central Excise Act, 1944, there shall be presumption about the truth of the contents of these paper slips and the burden is on the appellant to prove that their contents are false. In this case, Sh. Ranka, in his statement by explaining the entries in the paper slips has accepted the correctness of their contents. Therefore, there is no reason for discarding this evidence for the purpose of proving the allegation of duty evasion against the appellant. The Tribunal in its judgment in case of Kamar Ali & Sons reported in 2006 (200) ELT- 104 (Tri.-Vol.) has n....