2005 (3) TMI 340

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....manded a sum of Rs 25,64,300/- under Rule 9(2) of Central Excise Rules 1944 read with Proviso to Sub-section (1) of Section 11A of the Central Excise Act, 1944. Further an amount of Rs. 25,963/- has been demanded in terms of Rule 57-I(i)(ii) Penalty of Central Excise Rules 1944. Rs. 26,92,515/- has been imposed under Section 11AC read with Rule 173Q of the Central Excise Rules 1944. Interest under Section 11AB has been demanded on the duty demanded under Section 11A of the Central Excise Act. An amount of Rs. 25,963/- equal to the duty demanded under Rule 57(i)(ii) has been imposed as penalty under Rule 57-I(4) of the Central Excise Rules. Interest under Rule 57-I(5) has been demanded. An amount of Rs. 10,000/- each as penalty has been impo....

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....(3) The case of the revenue is that 12,821 MTs of cements has been produced and removed clandestinely. In order to produce the above mentioned quantity of cement, the following raw-materials are required. (i)  Limestone 20,500 tonnes (ii) Coal 4,500 tonnes (iii) Gypsum 385 tonnes (iv) Iron ore 385 tonnes (v) HDPE bags 2,56,420 (vi)  Power 20,51,360 units there is no evidence of procurement of the above raw materials in a clandestine manner. (4)  There is no corroborative evidence to show disposal of finished goods. The private record showing production details without corroborative evidence of corresponding raw material or excess disposal is not sufficien....

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....per hour. If the electricity consumptions is analysed there is definitely correlation between APSEB power bill and the power consumption recorded in the register which is seized. (6)   The department conducted raids with some of the dealers and no incriminating evidence was found. (7)   The department has made no investigation into the sale proceeds of the alleged clandestine removal. If the allegation of the department is true then the sale proceeds would work out to Rs. 260 lakhs. There is no evidence of recovery of any unaccounted cash. It is also relevant to point out that the appellant is a Public Limited Company. 4. The learned SDR referred to a good number of HDPE bags which were unac....