MAGMA INDUSTRIES LIMITED Vs. DESIGNATED COMMITTEE OFFICE OF COMMISSIONER CENTRAL GOODS AND SERVICE TAX

JUDGEMENT

(1.) Heard Sri Suyash Agarwal, learned counsel for the petitioner and Sri R.C. Shukla, learned counsel for the revenue.

(2.) Present writ petition raises challenge to the order dtd. 5/5/2020 passed by respondent no.1-Designated Committee rejecting the declaration filed by the petitioner on SVLDRS-1, seeking settlement of its dispute, under the provisions of the Sabka Vishwas (Legacy Dispute Resolution) Scheme, 2019 (in short the 'Scheme').

(3.) Undisputed facts of the case are, a search was conducted in the case of the petitioner under the provisions of the Central Excise Act, 1944, (hereinafter referred to as the Act) on 10/2/2016 at the business and other premises of the petitioner and its directors etc. In the ''Panchnama' drawn on 10/2/2016 itself, an allegation of short payment of Central Excise duty (against shortage of stock) Rs.2,18,516.00 was made. A copy of the same is annexed as Annexure No. 1 to the writ petition. Pursuant to the search, an investigation (under the Act), became pending against the petitioner and its directors. During that investigation, on 13/5/2016, the statement of Dinesh Garg, a director of the petitioner-company came to be recorded. As per Annexure-A to that statement duty payment Rs.45,38,231.00 was avoided upon clandestine removal of excisable goods. Its copy is annexed as Annexure No. 3 to the writ petition. Relevant to our discussion, the contents of question nos. 3 and 7 together with the answers furnished by the said Dinesh Garg, in that statement, read as under: