Suppression of facts - "But for investigation by department" may not always work
A favourite phrase used by ingenious Show Cause Notice makers in the CBEC, when they forgot to issue the notice within time and want to invoke the extended period of limitation is, "but for the investigation carried out by the officers non-payment of duty could not have come to light".
But in a recent case, the Chennai Bench of the CESTAT was not impressed with this oft repeated cliché.
The Tribunal noted, "It is pertinent to see that neither in the SCN nor in the impugned order, there is any iota of evidence brought out against the appellants on the wilful suppression of facts with intent to evade duty. The only remarks we find in the SCN at para-12 mentioning as "but for the investigation carried out by the officers non-payment of duty could not have come to light".
The entire demand was set aside.
We bring you this order today.