AURANGABAD PAPER MILLS LTD. Vs. CCEX

JUDGEMENT

(1.) THIS appeal is directed against the Order -in -Appeal No. VGN(30)381/TF/ 1998/8678 dated 18.10.2000.

(2.) THE relevant facts that arise for consideration are that there was a fire accident in the factory of the appellant on 16.3.1997 and on 17.5.1997. In the fire accident, the raw materials and finished goods were destroyed. The appellant filed remission application for finished goods, which were destroyed in the factory due to fire accident, through letter dated 15.6.1998. A show cause notice dated 22.7.1999 was issued to the appellant for rejection of the remission claim on the ground that the intimation of the fire was given by the appellant to the authorities belatedly. The Commissioner of Central Excise and Customs, Aurangabad vide his order dated 18.10.2000 rejected the remission application filed by the appellant. Hence, this appeal.

(3.) LEARNED Advocate appearing on behalf of the appellant submits that the intimation of fire accident that took place on 16.3.1997 was given vide letter dated 17.3.1997, which was received by the authorities on 18.3.1997. As regards the fire accident that took place on 17.5.1997, intimation was given on 19.5.1997. She submits that both the dates are recorded in the show cause notice. It is her submission that the fire accident, which took place on 16.3.97 was Sunday and hence, by that time it was afternoon and due to holiday on 16.3.1997, the appellant informed the Central Excise authorities on 17.3.1997, however, they informed to the Police Officer, Paithan about fire accident and Sub Inspector of Police Dept. visited their factory and conducted the enquiries in the presence of panchas. It is the submission that the Police Officer recorded that the fire was due to short circuit in the factory the fire broke out and the goods have been destroyed. She submits that office of the Superintendent of Central Excise is located at the distance of 45 kms, hence, they could submit the intimation letter dated 17.3.97 on 18.3.97 at 11.00 hrs. As regards the fire took place on 17.5.97, it is her submission that 17.5.97 was Saturday and holiday for the Revenue on 17.5.97 and 18.5.97 being Saturday and Sunday respectively, hence they could inform the department on next working day on 19.5.97 at 10.30 hrs.