2014 (7) TMI 524

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....GEMENT Per Archana Wadhwa: After hearing both sides, I find that the appellant is engaged in the manufacture of HDPE fabrics, HDPE bags and HDPE wastes falling under Chapter 39 of the first schedule to the Central Excise Tariff Act, 1985. Scrutiny of their balance sheet revealed that they have shown physical loss of 198807.230 Kgs. of work in progress goods in their balance sheet under the head....

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....d he is unable to comment upon the denial of the same by the Police Station. 3. On the above basis, Revenue entertained a view that appellants have sold the said goods clandestinely without payment of duty amounting to Rs. 17,49,504/-. Accordingly, the show cause notice was issued to them on 30.3.06 proposing to confirm the demand as also to impose penalties. The said demand was made by invoking ....

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....balance sheet is much more than the total quantity of goods manufactured by them in the year 2000-2001, which is quite abnormal. Accordingly, he observed that the material shown as physical loss due to leakage of water from chilling plant and water bath of tape plant is nothing but well laid up attempt to cover up the clandestine removal in the guise of same. He also observed that inquires made wi....

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....by the Excise department with the fire department Shri R P Yadav, Police fire officer, Bareilly he informed the Deputy Commissioner of Central Excise as under:           1. On 10.3.2001 owner Sunil Mehta reported in police station regarding damage of approx. 200 MT material.          2. It was Holi holiday fact....