TaxTMI 
TaxTMI 
2014 (12) TMI 196
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.... No.(iii), and Rs. 50.00 lakhs on Applicant No.(iv), under Rule 26 (1) of the Central Excise Rules, 2002. 2. At the outset, the ld. Consultant appearing for the Applicants, has submitted that M/s Sen Ferro Alloys Pvt. Ltd. are engaged in the manufacture of excisable goods namely, sponge iron, falling under Chapter Tariff Sub-heading No.7203100 of CETA,1985. On the basis of the recovery of some private documents from the premises of the Applicant, M/s Sen Ferro Alloys Pvt. Ltd. and from other's premises viz. M/s Sen Brothers Enterprises Pvt. Ltd., it has been alleged that the Applicants had manufacture and cleared 29,671.282Mt of Sponge Iron (Fines & Lumps) clandestinely for the period from 01.04.2006 to 21.04.2009 without payment of duty. ....
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.... erroneous, inasmuch as the highest selling price of the goods has been adopted as the value of goods for the relevant period, without any legal basis. Regarding role of the Director, Shri Bijoy Kumar Bhalotia, the ld. Consultant submits that Shri Bhalotia became Director only w.e.f. 15.07.2009 and Shri Swapan Kumar Sen, was the Director of the Company, in July, 2009. Hence, they have no role in the alleged clandestine manufacture and clearances of goods. Advancing the financial hardship, the ld. Consultant submits that during the period 2012-2013, the factory was working only for 97 days and remaining period, it was closed. He further submits that the steel industries, as a whole, are in bad shape and the Applicants are not exception to it....
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....nd perused the records. We find that the demand has been confirmed against the Applicants, M/s Sen Ferro Alloys Pvt. Ltd., on the ground that during the period from 2006 to 2009, they had manufactured and cleared 29671.282 MT of sponge iron from their factory without recording its manufacture and clearance in the statutory records and without payment of duty. Prima-facie, we find that a chit regarding such clandestine manufacture and clearance, has been retrieved from the factory premises which shows around 2000 MT of finished goods had been cleared without payment of duty. We find that the records and evidences relating to the clearance for the earlier period, had been retrieved from other's premises. Prima-facie, we find that the ld. Comm....