2025 (1) TMI 1032

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ause Notice on 30th March, 2007 by invoking extended period of limitation. This is second round of litigation. In first round the matter was remanded back to the Adjudicating Authority to decide issue on merits. 2. The facts of the case are that appellant is engaged in manufacture of M.S. Ingots and installed capacity of the appellant is 1.7MT. For manufacture of M.S. Ingots the appellant used Sponge Iron, Pig Iron, M.D. Scrap, C.I.Scrap, Silico Manganese, Calcined Petroleum Coke etc. as the raw material. The receipt of inputs, capital goods and input service and manufacture of excisable goods are invariably reflected by the Appellant in their statutory records. 3. The appellant cleared the final product on payment of duty. As per rec....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....3.135MT of M.S Ingots during the period of April, 2006 to January, 2007. 8. As during the impugned period, the electricity is required to manufacture 1 MT of MS Ingots is 1000 units whereas appellant has shown excess usage of electricity which is used by the appellant for excess production of M.S.Ingots which has been cleared clandestinely by the appellant. 9. On the basis of that adjudication took place and demand of duty alongwith interest has been confirmed. Penalty is also imposed on the appellant. 10. Aggrieved from the said order, the appellant is before us. 11. The Ld. Counsel for the appellant submits that allegation of clandestine removal is solely based on the higher electricity consumption and there is no other corrob....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ty of furnace, quality of raw material, quality of workers and efficiency thereof and the said report has been discarded by this Tribunal in the case of R.A. Castings P Ltd. (Supra) which has been affirmed by the Hon'ble Apex Court. 19. Therefore, merely on the basis of excess electricity consumption by the appellant demand alleging clandestine manufacture and removal of goods is not sustainable. The same view was taken by this Tribunal in the case of Orion Metal Pvt. Ltd. (Supra) wherein this Tribunal has observed as under: ". We find that on similar facts, this Tribunal in the case of R.A.Castings Private Limited Vs. CCE reported in 2009 (237) ELT 674 (Tri.Del.), has held that on technical data for consumption of electricity b....