Inspections
• Right to enter factory premises should be only on well substantiated purposes and should be exercised only with the prior permission of the Asst./ Dy. Commissioner of Central Excise in case of all units.
• Right to enter premises shall be available only in the following cases :-
– During audit or for carrying audit related function
– When a documented information is received against manufacturer or importer/exporter or for parliamentary queries
– When any vehicle with goods is caught on the way without appropriate Central Excise invoice.
– Exceptions made should be specified.
• A register should be maintained in all units where details of their name, designation and purpose of their visit should be entered. Periodic review of the assessee’s registers should be taken up by the Department to match with in-house desk diary maintained by the officer.
• All inspecting official should present their identity cards at the time of visit of factory.
Don’t all these things already exist? And should an officer visit for export clearance?
++ Assessee to be allowed to have his officials/advisors during inspection to get information/ factual details.
++ Officials to be trained in inspections – for instance, input-output ratios, capacities, electricity charges can be investigated with adequate allowance for process losses so that disputes on frivolous issues can be avoided.
Now there is really no inspection of any factory and the suggestions on input output ratio and electricity consumption were followed by the department for at least fifty years and the trade is not really wiling to accept these findings.