Custom, Excise & Service Tax Tribunal
M/S Kay Kay Fluid Seals Ltd vs Cce, New Delhi on 15 October, 2014
IN THE CUSTOMS, EXCISE & SERVICE TAX
APPELLATE TRIBUNAL
West Block No. 2, R.K. Puram, New Delhi 110 066.
Date of Hearing/Order : 15.10.2014
Appeal No. E/1846-1848/2005-EX(DB)
[Arising out of Order-in-Appeal No. CE/Appl/60-62/DLH-IV/2004 dated 1.3.2005 passed by the Commissioner of Central Excise, New Delhi]
For Approval & Signature :
Honble Mr. Justice G. Raghuram, President
Honble Mr. R.K. Singh, Member (Technical)
1.
Whether Press Reporter may be allowed to see the Order for publication as per Rule 27 of the CESTAT (Procedure) Rules, 1982?
2.
Whether it would be released under Rule 27 of the CESTAT (Procedure) Rules, 1982 for publication in any authoritative report or not?
3.
Whether their Lordships wish to see the fair copy of the order?
4.
Whether order is to be circulated to the Department Authorities?
M/s Kay Kay Fluid Seals Ltd. Appellants
Shri R. Dutta, CEO
Shri M.S.S. Prakash, Works Manager
Vs.
CCE, New Delhi Respondent
Appearance:
Ms. Sukriti Das, Advocate - for the Appellant Shri Pramod Kumar, Jt. CDR - for the Respondent Coram : Honble Mr. Justice G. Raghuram, President Honble Mr. R.K. Singh, Member (Technical) F. Order No. 54209-54211/2014 Per R.K. Singh :
These appeals have been filed against Order-in-Appeal No. CE/Appl/60/DLH-IV/2004 dated 1.3.2006 which upheld the Order-in-Original No. 13/NK/2004 dated 10.8.2004 in terms of which duty demand of Rs.5,75,910/- was confirmed along with interest and equal mandatory penalty on M/s Kay Kay Fluid Seals Ltd. and penalty of Rs. one lakh each on Shri M.S.S. Prakash, Works Manager and Shri R. Dutta, CEO.
2. The facts, briefly stated, are as under :
During the course of a visit, the Central Excise officers found 1537 Nos. of branded oil seals short compared to their recorded stock on which duty of Rs. 532.68 was leviable and accordingly confirmed. They also recovered store despatch register for the year 2002-203 which showed clandestine clearances without payment of duty of 232528 pieces of branded oil seals of value of Rs.35,96,116/- on which duty of Rs.5,75,378.70 was evaded and accordingly confirmed. Shri M.S.S. Prakash and Shri R. Dutta admitted that the said register contained the details of clearances of branded oil seals which were cleared without payment of duty and as per that registered they conceded that 232528 pieces of branded oil seals were cleared without payment of duty. They categorically admitted that such clearance without payment of duty was done with their approval and knowledge.
3. In their grounds of appeal the appellants contended that the principles of natural justice were violated inasmuch as the appellants were not given an opportunity to cross examine the witnesses and the whole case of the department is based upon the unsigned store register.
4. We have considered the appellants contentions. It is seen that the recovery of the said store despatch register is not denied nor are denied the details contained therein. The Works Manager Shri M.S.S. Prakash and the CEO of the company Shri R. Dutta both in their inculpatory statements admitted the fact of having cleared the aforesaid quantity of branded oil seals without payment of duty and also admitted that the said register was maintained with their knowledge/approval and under their direction and they were aware of such clearance without payment of duty. In these circumstance when the CEO and the Works Manager themselves admitted to the fact of such clearances as recorded in their own store despatch register. Their contention that they were not given the opportunity to cross-examine the witnesses and that violated the principles of natural justice is devoid of merit, more so when their statements were inculpatory and were never retracted. An admitted fact hardly needs to be proved. In the present case, apart from the inculpatory statements evidence in the form of the written record, the godown despatch register is also available.
5. In the light of the foregoing, we find that the appeals are devoid of any merit and the same are therefore dismissed.
(Justice G. Raghuram) President (R.K. Singh) Member (Technical) RM 1