DD Iron & Steel Pvt. Ltd. Vs Commissioner of CGST & Central Excise (CESTAT Kolkata)
CESTAT Kolkata held that charge of clandestine removal and duty demand thereon merely on the loose sheets and pocket dairy without any corroborative evidence cannot be sustained in the eye of law. Accordingly, appeal allowed.
Facts- On 01-09-2012 the Officers of DGCEI conducted simultaneous search operations at their Factory-cum-Office premises and Residential premises of one Shri Surendra Prasad Gupta, Brother-in-law of Shri Musafir Jaiswal, and also at other premises. One Spiral Binding Pocket Diary was seized purportedly from Directors Chamber. Delible Pencil Handwritten loose sheets were seized from the residence of Sri Surendra Prasad Gupta, Brother-in-Law of Sri Musafir Jaiswal, Director.
In the course of said search operation, the physical stocks of raw materials and finished goods were taken and no excess/only shortages of stocks were detected. Statements were recorded from various persons and a Show Cause Notice was issued on 27.01.2016 alleging that the appellant has cleared 5816.660 MT of M.S. Ingots of the value of Rs.19,13,71,626/-involving Central Excise duty of Rs.2,16,46,337. After due process, the Adjudicating authority confirmed the demand along with interest and penalty. He also imposed penalty on the Director of the company. Being, the appellants are before the Tribunal.
