TaxTMI 
TaxTMI 
2018 (1) TMI 477
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....re dealt with a common order. 2. The brief facts of the case are that an investigation was conducted at the end of all the appellants, wherein certain excess raw material was found and finished goods found short and/or excess at the time of verification thereof. Thereafter, on the basis of opening stock and closing stock, the raw material consumed and the goods sold, it was derived that out of the raw material purchase by the appellant, certain quantity of finish goods is to be manufactured. On the basis of that it was found that as the said quantity have a variation with the actual sale made by the appellants, therefore, a differential duty was demanded on account of clandestine removal of goods, penalties were also imposed on the appel....
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....xcess raw material, electricity consumption, transportation, buyers have been brought on record to establish clandestine removal. Therefore, the impugned order is to be set aside. 4. On the other hand, learned AR reiterated the findings of the impugned order and submits that as appellants themselves have admitted their liability and paid thereof, therefore, nothing to be proved by the Revenue. 5. Heard the parties considered the submissions. 6. In this case, the charge of clandestine removal has been made against the appellants on the basis of the investigation conducted in their factories wherein certain excess/shortage of finished goods and excess of raw material was found and a formula was derived on the basis of input/output no....
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.... outside the factory; (d) instances of sale of such goods to identified parties; (e) receipt of sale proceeds, whether by cheque or by cash, of such goods by the manufacturers or persons authorized by him; (f) use of electricity far in excess of what is necessary for manufacture of goods otherwise manufactured and validly cleared on payment of duty; (g) statements of buyers with some details of illicit manufacture and clearance; (h) proof of actual transportation of goods, cleared without payment of duty; (i) links between the documents recovered during the search and activities being carried on in the factory of production; etc. Needless to say, a precise enumeration of all situation....
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....inate Bench of this Tribunal has, in another decision, reported in the E.L.T. issue of 5-8-2013 (after hearings in the present appeals were concluded), once again reiterated the same principles, after considering the entire case-law on the subject [Hindustan Machines v. CCE [2013 (294) E.L.T. 43]. Members of Bench having hearing initially differed, the matter was referred to a third Member, who held that clandestine manufacture and clearances were not established by the Revenue. We are not going into it in detail, since the learned Counsels on either side may not have had the opportunity of examining the decision in the light of the facts of the present case. Suffice it to say that the said decision has also tabulated the entire case-law, i....