SARTI ISPAT UDYOG, SHRI SOHAN LAL Vs. CCE

JUDGEMENT

(1.) These are five appeals arising out of a common Order -in -Original No. 691/2001, dated 4.12.2001 passed by the Commissioner, Central Excise.

(2.) Shri L.P. Asthana, learned Advocate, submitted that M/s. Sarti Ispat Udyog manufacture iron and steel products; that on 8.6.96, Central Excise Officers intercepted a truck No. MP 23 15 7024 carrying CTD Bars weighing 13.390 MT valued at Rs. 1,72,731 at R.T.O. Check Post, Chincola; that driver, Harjinder Singh informed the Officers that the CTD Bars were loaded from the Appellant No. 1's premises; that the Officers seized both the goods and Truck as the goods were removed from the factory premises without payment of duty; that the search of the factory premises of the Appellant No. 1, revealed

(3.) The learned Counsel, further, submitted that the shortage and excess found in the stocks of inputs and finished goods is not based on any actual weighment of goods but the verification was partly on eye estimation basis and partly on hypothetical basis since it was a result of some calculations and deprivations based on average; that such calculation cannot be relied upon by the Department; that CTD Bars seized from the Truck were duly accounted for in the RG -1 Register and as such there was no malafide intention on their part to clear the goods without payment of duty; that the mistake of non -preparing invoice and not debiting duty occurred due to the fact that Executive Director had to leave the factory just before the removal on account of some urgent work and he could not give proper instruction to the employees for preparation of invoice and debiting of duty and the goods were urgently required by M/s. Shri Venkatesh Steel Traders for supplying to their customers; that the Department should take a flexible view particularly when the duty involved had been deposited as per the demand made.