News Flash
  • Order dated 22.01.2020 in WP 112826/2019 filed by UoI ( CGST Bangalore) Vs. Contempt 65/2018 & Order (Shrinivas, Part Time Casual Worker) Instructions-Reg. click here
  • Strict compliance to Limitation while filing Appeals/Petitions before Courts/ Tribunal -reg. click here
  • Vacancy Circular calling for nomination of willing officers at the level of Inspectors and superintendents to work in International Customs Division of Customs Wing,CBIC-reg. click here | Addendum. click here
  • Notification issued on Departmental Examination for promotion of Tax Assistants to the grade of Executive Assistants of Central Taxes and Customs to be held in the month of March, 2021. It also contains the Schedule, Syllabus and Instructions for Examination along with the format (in Annexure II) for requesting for Question Papers. The Notification can be viewed through this link. click here
  • Five posters of Welfare Schemes being implemented from the Customs & Central Excise Welfare Fund. click here
  • Constitution of regular panel of Senior/Junior Standing Counsels for handling cases of Indirect taxation of CBIC before the Hon'ble High Courts and other fora; Renewal/Fresh appointment of Counsels -reg. click here
  • One day Online Training on "Disposal of Goods" for officers of CBIC on 20th January, 2021 from 10:30 AM to 1:30 PM -reg. click here
  • Vacancy for Inspectors on deputation basis in Directorate General of Anti-profiteering, New Delhi.
  • Empanelment for Chartered Accountant or Cost Accountant for Special Audit of Central Excise,Service Tax and GST Assessees. click here
  • Customs Brokers Licensing Examination(CBLE), 2021 - reg. click here
  • Customs Authority for Advance Rulings (CAAR) Regulations 2021click here
  • Online Training on "Anti-Profiteering" for officers of CBIC on 22nd January, 2021 from 10:30 AM to 01:30 PM - regardingclick here
  • OM dated 04.01.2021 regarding Correction in the Integrated All India Seniority List (AISL) of Superintendents Customs (Prev.) for the Period 01.01.2012 to 31.12.2013click here
  • Circular regarding Seeking applications for the vacancies in the grade of AC/DC/JC/ADC in DG Systems & Data Management.click here
  • Notification issued to make amendment (2021) to CGST Rules, 2017
  • Scheme for grant of cash awards to meritorious children of departmental officers year 2019-2020.click here
  • 13th English-speaking Session of the Virtual Customs Orientation Academy (VCOA).click here Document
  • Notification issued to extend the time limit for furnishing of the annual return specified under section 44 of CGST Act, 2017 for the financial year 2019-20 till 28.02.2021.
  • Press release issued on extending due date of furnishing of annual return under Central Goods and Services Tax Act, 2017 for the financial year 2019-20click here
  • Preparation of a panel for Selection officers on Deputation Basis - Reg.click here
  • Promotion of Senior Translator to the grade of AD (OL) (Group A) under CBICclick here
  • Collection of statistics regarding court cases related to Order dated 19.07.2011 of High Court in Madras.Click here
  • Notifications issued to bring into force provisions of Finance Act, 2020, to waive late fee for FORM GSTR-4 filing in UT of Ladakh and to make 14th Amendment, 2020 to CGST Rules, 2017.
  • Letter dated 18.12.2020 reg. Examination of promotion to EA cadre during 18.12.2013 to 28.09.2015Click here
  • Masters Degree Programme in Public Finance at the National Graduate Institute for Policy Studies (GRIPS) in Tokyo, Japan (2021-2022)-reg.Click here
  • Departmental Examination for promotion of Ministerial Officers to the Grade of Inspectors of Central Taxes and Inspectors of Customs (EOs & POs) to be held in the month of February, 2021Click here
  • Online Training on "Vigilance Matters" for officers of CBIC on 30th December, 2020 from 10:30 AM - 1:05 PM.
  • Circular issued for waiver from recording of UIN on the invoices for the months of April 2020 to March 2021.
  • Notification issued to extend the due dates for compliances and actions in respect of anti-profiteering measures
  • Immediate Attention: Letter, Schedule, Syllabus and Instructions regarding Departmental examination for Inspectors of Central Tax for Confirmation to be held from 02.02.2021 to 05.02.2021 issued by NACIN, ZC, Kanpur.Click here
  • Scheme for compassionate appointment-relative merit point & revised procedure for selection/Tie breaking formulaClick here
View all

Clandestine Removal

ECS subject-wise list of Central Excise cases

S No

Citation

Name of the Party

Subject Heading

1 2012 (2) ECS ( 118) (Tri-Ahd)(140 KB) M/s Windson Chem Industries If the proprietor of the appellant-assessee who is the main beneficiary of any illegal/legal activities of the firm, admits, in his statement that there was clandestine removal of the finished goods, further corroboration, if any, may not be necessary.
2 2013 (1) ECS ( 42) (Tri-Del)(158 KB) Mangal Sponge & Steel Pvt. Ltd. Inputs received in factory but not accounted in statutory records is evidence of clandestine manufacture
3 2013 (1) ECS (73) (Tri-Mum)(157 KB) M/s Shiva Steels Rolling Mills Demand is confirmed on the ground of electricity consumption.Experiment conducted by the Revenue in presence of appellant was found that from consumption of 1 KWH of electric power 830 kgs. of finished goods are manufactured. Tribunal in the case of Orange City Alloys Pvt. Ltd. has directed the assessee to deposit 50% of the duty and penalty. Hon’ble Bombay High Court vide order dated 12.10.2011 modified and directed the assessee to deposit 25% of the duty for hearing of the appeal. SLP No. 4520/2012 filed by M/s Orange City Alloys Ltd. against the decision of Hon’ble Bombay High 07.05.2012 is dismissed by Hon’ble Supreme Court. In case of M/S Jai Bharat Steel Rolling Mills demand was confirmed on the same ground and Tribunal vide Stay Order dated 14.02.12, relying on Hon’ble Bombay High Court in case of Orange City Alloys, directed the assesse to deposit 25% of the duty
4 2013 (2) ECS ( 75)(Tri-Del) M/s Gyscoal Alloys Ltd Appellants are expected to be aware that credit is required to be reversed when inputs are cleared as such. No incidence for the earlier period to the effect that credit taken in such a situation was ever reversed by them voluntarily, without detecting by the department. The action and argument of reversal of cenvat credit by the appellants has to be considered as afterthought. Department has reasonably discharged the burden that inputs were not received by the appellants. No manufacturer can be expected to keep documentary evidences of its clandestine activities
5 2013 (2) ECS (37 ) (Tri-Ahd)(172 KB) M/s Agarwal Metals & Alloys When one of the vehicles is not even registered at the time and when other vehicles were found to be incapable of transportation or owners admitting that they have not transported which is further supported by the fact that the vehicles did not pass through the Sales Tax Check Posts and no stamps were found on documents, the case is made on the basis of documents and records and, therefore, it cannot be said that just because cross examination was not allowed, appellants were handicapped
6 2013 (2) ECS (69 ) (Tri-Ahd)(190 KB) M/s Fortex Remedies Pvt. Ltd Under amended Rule 8 (3 A) it was responsibility of the appellant to pay duty consignment wise from account current. In the event of any failure to follow this procedure, the goods cleared will be deemed to have been cleared without payment of duty and the consequence and penalties as provided in the Central Excise Rules shall follow
7 2013 (2) ECS (97 ) (Tri-Ahd)(189 KB) M/s Royal Antibiotics & Investment Pvt. Ltd Under amended Rule 8 (3 A) it was responsibility of the appellant to pay duty consignment wise from account current. In the event of any failure to follow this procedure, the goods cleared will be deemed to have been cleared without payment of duty and the consequence and penalties as provided in the Central Excise Rules shall follow
8 2013 (4) ECS (95 ) (Tri-Ahd)(180 KB) M/s. Pigeon Textiles Issue of SCN- relevant date.
9 2013 (4) ECS (53 ) (Tri-Ahd)(184 KB) M/s. Chandan Steels Ltd.  The burden of explaining the shortage in raw materials on the appellant.
10 2013 (4) ECS (23 ) (Tri-Mum)(206 KB) Ahmednagar Rolling Mills Pvt. Ltd.  In the absence of any evidence to prove that private records are wrong and did not belong to the appellants, the charge of suppression of production and clandestine removal can be established on these evidences.
11 2013 (4) ECS (57 ) (Tri-Del)(179 KB) M/s Jyoti Divya Fabrication Ltd.  Dispute arising out of method of stock taking basis of number of pipes and tubes found short multifplied by the sectional weight mentioned in the catalogue of the applellant themselves
12 2013 (4) ECS (67 ) (Tri-Del)(389 KB) M/s M.R.Tobacco Pvt. Ltd. and others.  For Manufacture of Gutkha  plastic laminate is also a principal rave material and on the basis of the evidence of huge quantity of unaccounted receipt of such plastic laminate, burden of proof shifted to the manufacturer.
13 2012 (2) ECS (89 ) (Tri-Mum)(128 KB) M/s Ramanand Steel Ltd. it is a case of clandestine removal of the goods and matter cannot be examined  in detail while dealing with the stay application
14 2014 (1) ECS (142) (Tri-Del)(188 KB) M/s. Pithampur Alloys Casting Ltd. [2014 Evasion of duty by clandestine removal without accounting for manufacture was proved from material and incriminating evidence recovered during investigation.
 
15 2014 (1) ECS (152) (Tri-Del)(235 KB) M/s  Ganpati Rolling P. Ltd. When there is credible evidence to indicate wrongful conduct of the respondents such as not accounting of goods and unlawful possession thereof, it has to be concluded that there was an intention to evade..
 
16 2014 (1) ECS (171) (Tri-Kol)(208 KB) M/s. Union Enterprises Evidences indicate that the production recorded in the RG-1 register by the assessee was not factually correct.
17 2014 (2) ECS (230) (Tri- Ahm.)(683 KB) M/s Tec Papers Pvt Ltd Clandestine removal charges have to be proved by evidences. However, these evidence depend upon facts and circumstances of each case and which can be a simple recovery of note book with corroboration by managers, staff etc.
18 2014 (3) ECS (123 ) (Tri–Chen)(316 KB) M/s. Sujana Steels Ltd. Supply of imported scrap without any documents by the appellant to the manufacturer for the purpose of manufacturing and clearance of Rerolled products clandestinely.
19 2014 (4) ECS (48) (Tri-Ahd)(108 KB) M/s. Kashi Silk Mills Grey fabrics and finished fabrics recorded in the said private lot register were not accounted for in the statutory records. The grey fabrics were received from different parties for job work illicitly and were entered into this private lot register only and were not entered into statutory records. That after processing, the fabrics were returned to the concerned parties without payment of duty and without making any entry in the Central Excise records. Demand upheld.
20 2014 (4) ECS (53) (Tri-Ahm)(138 KB) M/s. Sangam Prints Pvt. Ltd Appellant has clandestinely processed the grey fabrics received by them from merchant manufacturers underkacha delivery challans and clandestinely removed the processed fabrics without payment of duty. Demand upheld
21 2014 (4) ECS (62) (Tri-Del)(337 KB) M/s. Thermotech In a clandestine activity, it is not possible to unearth every piece of evidence and such standard of proof is not required for proving evasion of tax. The standard of evidence in a civil dispute is preponderance of probability, not the proof beyond any reasonable doubt.
22 2014 (4) ECS (98) (Tri-Ahd)(113 KB) M/s. Tulip Lamcraft Pvt Ltd The director and despatch supervisor had admitted that there were clandestine removals as recorded in the spiral note books. Except for asserting that there was no clandestine manufacturing activity, the appellant has not adduced any creditable evidence.
23 2014 (4) ECS (103) (Tri-Ahd)(103 KB) M/s. Western India Ceramics Pvt. Ltd It is a case of admitted clandestine manufacture, non-accountal of stock properly and clearance of part of the goods through fictitious firm M/s Labh Traders created by the appellant. The clandestine removal was corroborated by statements of the employees of the main appellant and other persons.
24 2014 (4) ECS (106) (Tri-Ahd)(105 KB) M/s. Paras Steel Industries Statements by the assessee clearly give details of the clandestine activities of the respondents and were not retracted during investigation/adjudication. When respondents did not give details of the buyers of the goods clandestinely removed Revenue cannot be faulted with for not investigating the area of extra raw materials purchased or extending investigation into the buyers of the goods clandestinely removed etc.
25 2014 (4) ECS (110) (Tri-Ahd)(162 KB) M/s. Deep Twisters Pvt. Ltd. Director as a representative of a unit has to be aware of Central Excise law and procedures and he cannot claim that ignorance regarding the fact that goods purchase were liable to confiscation. Penalty upheld