TaxTMI 
TaxTMI 
2016 (12) TMI 156
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....riod April 2002 to January 2003 they availed the SSI Exemption in terms of Notification No 08/2002 C.Ex dated 01-04-2002. 1.2 On 25-01-2003 the unit got registered with the department stating that their value of clearances is about to exceed Rs. 1 Crore. The revenue officials visited the factory of the unit on 29-01-2003 and noted some discrepancies. The discrepancies are as follows. * Unit was not maintaining any manual records in respect of inputs/finished products regarding receipt, issue, stocks, production, clearance etc. * The unit has not preserved the copies of invoices. * The value adopted by the assessee was on the basis of whole sale price and not on the basis of MRP. 1.3 The Revenue officials rec....
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....Rs Rs. 40,000/-was imposed on the Director, Sri L.Danunjaya, Rs. 25,000/- was imposed on Shri. K.Sivakamini Kumar, Finance Manager and also penalties were imposed on other stockist/agencies /buyers. The appellants carried the issue in appeal and vide order impugned herein the Commissioner(Appeals) upheld the demand of duty interest and equal amount of penalty imposed on the appellant unit and also the separate penalties imposed on Managing Director, Shri L.Danunjaya. Being aggrieved the appellants are now before the Tribunal. 2. On behalf of the appellants the Ld. Counsel Ms. A.S.K. Swetha submitted that the appellant has not indulged in any activity of clandestine removal. There was no concealed transactions with respect to raw material....
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....n 29-01-2003. In the month of January, 2003, there was defect in the computer server and therefore, accurate data was not available with the appellant. As per the available information, the sale figure was Rs. 99,60,614.89/- and the same was declared to the department immediately. Although there were instances of deposit of amount received from clearances in the KVB account of the Managing Director, the bank transaction statement would show that the amount so deposited has been transferred/withdrawn and deposited in the SBI account of the appellant unit on the same day or the very next day itself. That this would establish that there was no concealed transaction or clandestine removal of goods. Again that the department conducted verificati....
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....d in two sheets of paper. Out of this, 4,10,943.64 was deposited in SBI account where as 6,61,685.54 was deposited in KVB account of Director. That all the above evidences was sufficient to establish that the appellant was indulging in clandestine activity by suppressing the value of clearances in order to be eligible for SSI exemption. 5. I have heard both sides. 6. The facts brought out from the submissions made by both sides, reveal that only part of the clearances made were accounted in SBI account of the unit. The super stockists/buyers have been making the deposits towards some part of the goods received by them in the KVB account of the Director. Though it is contended by the appellant unit that the said amounts deposited by th....