2017 (5) TMI 947

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....espondent ORDER Per Ashok K Arya: M/s Bharat Petroleum Corporation Ltd. (BPCL) is in appeal against Order In Appeal No.22/2006 dated 9.3.2007, whereunder payment of duty of Rs. 44,01,053 alongwith equivalent penalty has been confirmed for the goods lost during storage of petroleum products on account of natural evaporation etc. 2. The brief facts are that : i) The Appellant is engag....

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....s confirmed by the impugned order. iv) Now appellant is in appeal against the said order before Tribunal. 3. With above background of facts, both sides represented by the ld Counsels Shri Hemant Bajaj & Shri K. Poddar have been heard. 4. After perusal of the facts and submissions of both the sides, it appears that the Revenue's main ground of demand for goods in storage is exceeding the l....

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....e losses exceeding even the permissible limit can be condoned treating them a genuine storage losses. Even Board in their circular referred to above have clarified that when the remission of duty on storage or other losses claimed by the assessee exceeds 1% the department has to closely scrutinize the case and satisfy themselves. In the present case, there is no dispute that the losses are only on....

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....sued basing upon the Tank wise storage losses statements form 1/2002 to 6/2002 enclosed to ER-1 returns filed by respondent, and Tank Wise storage losses shown in ER-1 from 7/2002 to 11/2002. 8. It is revealed that respondents were disclosing their operational losses in RT-12 returns. In such circumstances, it cannot be said that respondent is guilty of commission of any deliberate act/omission....