SAMRAT PLYWOOD LTD Vs. UNION OF INDIA

JUDGEMENT

(1.) By this petition, the petitioners seek quashing of (i) search and seizure proceedings conducted on 21-3- 2005 as per Recovery Memo (Annexure P-2), (ii) show, cause notice dated 27-4-2007 (Annexure P-3), under Section 11A, 11B and 11C of the Central Excise Act, 1944 read with Rule 25D of the Central Excise Rules, 2002 and (iii) notification dated 4-5-1963 issued under Section 12 of the Central Excise Act, making Section 105 of the Customs Act, 1962 applicable to the Excise Act and a direction to segregate imposition of liability on petitioners No. 1 and 2 and to provide effective and substantial opportunity of cross-examining all witnesses, sought by the petitioners.

(2.) Case set out in the petition is that the petitioner No. 1 was incorporated as a company and was manufacturing goods covered under heading 4408.90 of the Central Excise Tariff. Petitioner No. 2 was also incorporated as a company and was dealing in manufacturing of plywood Board etc. Petitioner No. 3 was Director of petitioners No. 1 and (sic).

(3.) Raid was conducted on 21-3-2005 and certain documents were seized. Thereafter, statements of various persons were recorded from 21-3-2005 to 19-2-2007. A show cause notice was issued, requiring the petitioners to show cause, inter alia , why excise duty be not imposed with interest and penalty. The petitioners sought various documents to prepare their defence and also sought cross-examination of some persons. Some of the persons were allowed to be cross-examined, while request of the petitioners was turned down for others.