2016 (2) TMI 249

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..... 50/03-CE dated 10.6.2003. 2. The facts of the case are that the appellant is a manufacturer of pharmaceutical products located at Kasauli Road, District Solan, Himachal Pradesh. The claim of the appellant is that they have started commercial production before 31.3.2010, consequently, they are entitled for benefit of exemption notification No. 49-50/2003-CE dated 10.6.2003 and availed the same exemption. After investigation conducted by Preventive officers of Central Excise Division, Shimla, the exemption availed by the appellant sought to be denied. Consequently, the duty for the impugned period i.e. March, 2010 to March, 2014 was sought to be demanded by issuance of 4 show cause notices which were adjudicated by the impugned orders co....

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....stigation. Therefore, the commercial production cannot be started. In response to this, he submits that the supplier of the generator set has admitted in his statement that he had supplied DG sets to the appellant during the period and the amount payable towards DG sets was shown as DG set expenses in the balance sheet. Further, the affidavit has already been filed by the supplier of the DG set stating that the DG set was let out on rental basis to the appellant. This fact has not been contraverted by the adjudicating authority by any cogent evidence. He further submits that the appellant is a contract manufacturer and require a license to manufacture the drugs which has been obtained by the appellant from the Drug Controller with effect fr....

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....All the drugs manufactured also bears batch, year of manufacture. Admittedly, the appellant has cleared some drugs before when DG sets was there and drugs were manufactured before cut of date for availing exemption under the notification in question. The electricity connection was also released on 31.3.2010. This fact is verified from the electricity bill issued to the appellant dated 7.5.2010. Further, during the course of hearing, the appellant has produced a certificate issued by the Department of Industries certifying that commercial production started with effect from 30.3.2010. The supplier of DG set (on rental basis) has also gave the statement that he has given DG set on rental basis to the appellant. On the basis of this statement ....