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TaxTMI 
TaxTMI 
TaxTMI 
2018 (7) TMI 609
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....ocessing of Man Made Fabrics on job works basis out of Grey Fabrics supplied by the various principle manufacturers. As per investigation of the Central Excise Officer-Surat Commissionerate, various records were recovered from the appellants factory, mainly, the Officer found Kachcha Grey Challen/regular Grey challans and 2 Note Books. From the said document, it was revealed that the appellants on receiving the Grey Fabrics have not accounted for and after process the Grey Fabrics cleared the same without payment of duty. In this regard the adjudicating authority in De novo adjudication has considered the direction of the Tribunal and all the evidences statement and Affidavit to the effect of retraction made by the appellant and came to the....
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....ks were not interrogated, dyeing & printing master of the mills are the key persons who were not interrogated and their statements were not recorded to bring evidence. As regard the statements of 22 traders, he submits that all the statements are stereo type which proved that signature have been taken on the stereo type statement. He submits that in the earlier Order In Original dated 29.11.2000, in para G of page 14, it was admitted that Rs. 7,55,161/- have been recovered from the 16 traders towards duty. Thus, the total demand amount of Rs. 7,55,161/- stands paid hence, demand should have been reduced to this extent. But the Ld. Commissioner had deliberately ignored said payment. As regard the retraction of the statement which the Tribuna....
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....n of Panchas were denied. He submits that only statement of 22 Merchant Manufacturer was recorded, while 27 Merchant Manufacturer were not interrogated therefore, in any case demand related to 27 merchant manufacturers cannot be confirmed in absence of any statement recorded. 5. Ms. Nitina Nagori Ld. Deputy Commissioner appearing on behalf of the Revenue reiterates the findings of the impugned order. She submits that there are ample of evidences such as recovery of Note Book, Kaccha Challans etc. which was collaborated with the statement of Merchant Manufacturer as well as statement of Shri. Manharlal R. Bachkaniwala partner of the appellants firm, therefore, merely filing of retraction the overall charge of clandestine removal cannot be d....
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....he clearances of approximately 4.22 Lakhs L. Mtrs. of processed MMF, while the demand of duty is on approximately on 12.85Lakhs L.Mtrs. of processed MMF. There is inherent contradiction of the quantity allegedly cleared by the appellant. We also find that the merchant manufacturers whose statements were recorded and those merchant manufacturers whose statements were not recorded were all considered for the purpose of calculation of the alleged clandestine clearances by the appellant, were without any co-relation and without any substantiation, inasmuch as the impugned order gives the reasoning that the Kacha/Pakka challans indicates receipt of grey fabrics, while the statement of approximately 27 merchant manufacturers were not recorded to ....
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....chant's manufacturer statement could not be recorded. In this position I am of the view that, the demand against appellant in respect of all the Merchant Exporter cannot be confirmed. I agree that strong doubt can be raised that in respect of all the Merchant Manufacturers the appellant might have manufactured and cleared the Man Made Fabrics but in position where Shri. Manahala R. Bhachkaniwala retratcted his statement and there is no statement of 27 merchant manufacturers, in respect of quantity relates to said 27 Merchant Manufacturer demand cannot be confirmed. I find that the appellant have raised an issue that the duty of Rs. 7,55,161/- was recovered from the 16 Merchant Manufacturer, if it is so the demand should stand reduced to thi....