TIOL-DDT 465 · the untouched capture
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<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><b><font color="#663399" size="3">TIOL-DDT
465</font><br>
09 10 2006<br>
Monday</b></font></p>
<p align=center ><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Ghosts
haunt LTU, Bangalore</strong></font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Visit
the Bangalore LTU – the first in the country opened after much delay and hopefully
meticulous planning. They have not posted a full time Chief Commissioner there,
perhaps hoping that the idea will die down and so they need not waste a Chief
Commissioner. Remember what happened to the “help centres” started with much
fanfare and media blitz. Does any one know where the help centres are? All said
done, the most efficient politician should realize that the powerful bureaucracy
can demolish his most well laid out plans. </font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Coming
back to our Bangalore LTU, just go there and ask for client executive Bhaskaran.
(An Assistant Commissioner posted in the LTU is designated as Client Executive).
The receptionist may tell you to go to hell (or heaven). Don’t be insulted,
officers in the LTU will not ill treat you. The fact is you have to indeed go
there if you want to meet Bhaskaran.</font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">On
October 3<sup>rd</sup> by <a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=70&filename=pitara/sernews/order/order205_2006.htm">OFFICE
ORDER NO 205/2006</a>, the Board posted two Assistant
Commissioners, M. Bhaskaran and H. Manjanna Bhandary to the
LTU. A very innocent order; nothing wrong. They were posted to LTU from Bangalore
II and III Commissionerates respectively. </font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">But
there was a small hitch. One of them unfortunately died a couple of years ago
and the other one retired last year.</font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>Yes!
The Board had posted a dead officer and a retired officer to the LTU. And not
dead or retired yesterday but months if not years ago! </b></font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">All
the senior officers whom <b>DDT</b> contacted had a hearty laugh, but refused
to comment. One Chief Commissioner asked us, “How did you know?” and himself
answered, “Just like I would not reveal the name of an informer, you will not
reveal your source” True Sir! </font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The
Board’s order requires the Chief Commissioner to send compliance report regarding
relieving and joining of these officers. A really a tough time indeed for the
Chief Commissioner!</font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">“It’s
only a clerical mistake”, a very senior officer informed us. </font></p>
<p align=center ><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Is
CESTAT subordinate to CBEC?</strong></font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">A
Bangalore based advocate asked me this
question the other day. I was surprised. She asked me to go to <a href="http://www.cbec.gov.in">www.cbec.gov.in</a>
> Related Sites > <a
href="http://www.cbec.gov.in/cae/deptt-othersites.htm">Under CBEC</a>. If you
click on <a href="http://www.cbec.gov.in/cae/deptt-othersites.htm">Under CBEC</a>
you will get a page as this:-<strong> </strong></font></p>
<p align="center"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>Web
sites maintained by subordinate offices of CBEC</b></font></p>
<div align="justify">
<table width="450" border=1 align="center" cellpadding=3 cellspacing="0">
<tr>
<td width="53%" valign=top > <p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Indian
Customs and Excise Gateway </font></p></td>
<td width="44%" valign=top > <p><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><a
href="http://www.icegate.gov.in/" target="_blank">http://www.icegate.gov.in/</a></font></p></td>
</tr>
<tr>
<td width="53%" valign=top > <p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Central
Excise and Service Tax</font></p></td>
<td width="44%" valign=top > <p><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><a
href="http://sermon.nic.in" target="_blank">http://sermon.nic.in</a></font></p></td>
</tr>
<tr>
<td width="53%" valign=top > <p><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>The
Customs, Excise and Service Tax Appellate Tribunal Website </b></font></p></td>
<td width="44%" valign=top > <p><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><a
href="http://www.cestat.gov.in" target="_blank">www.cestat.gov.in</a></font></p></td>
</tr>
<tr>
<td width="53%" valign=top > <p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Directorate
of Valuation</font></p></td>
<td width="44%" valign=top > <p><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><a href="http://www.dov.gov.in" target="_blank">www.dov.gov.in</a></font></p></td>
</tr>
<tr>
<td width="53%" valign=top > <p style='word-spacing:0px'><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Directorate
General of Audit - Customs and Central Excise</font></p></td>
<td width="44%" valign=top > <p><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><a
href="http://210.210.94.179/audit.html" target="_blank">http://210.210.94.179/audit.html</a>
</font></p></td>
</tr>
<tr>
<td width="53%" valign=top > <p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Directorate
General of Safeguards</font></p></td>
<td width="44%" valign=top > <p><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><a
href="http://dgsafeguards.gov.in" target="_blank">http://dgsafeguards.gov.in</a></font></p></td>
</tr>
<tr>
<td width="53%" valign=top > <p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Directorate
of Logistics</font></p></td>
<td width="44%" valign=top > <p><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><a
href="http://www.cbec.gov.in/cae/teledir-new/dpo%20site/index.html"
target="_blank">http://www.cbec.gov.in/cae/teledir-new/dpo site/index.html</a></font></p></td>
</tr>
</table>
</div>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">So
according to the official web site of the CBEC, CESTAT is a subordinate office
of the CBEC. You will find the Authority For Advance Ruling shown under ‘related’
but CESTAT is under CBEC. </font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Yet
another clerical mistake?</font></p>
<p align=center ><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>The
seizure, the investigation and the evidence (or rather the lack of it)</b></font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The
legal procedure requires that a raiding party has to take two independent witnesses
who will have to sign the seizure report and who may later be cross examined
in a court of law. But investigators, especially the ace ones usually have contempt
for the law and the courts. Even if they have respect, most often they cannot
follow the procedure. So in practice, what happens is you go book a case and
after writing the mahazar catch hold of the tea shop boy, the pan wallah, the
auto driver or some such fellow available in the vicinity and make him sign
the mahazar to the effect that he has been called before the seizure, that he
has witnessed the seizure and everything went on perfectly fine. Later when
he is asked to identify the accused in the court, he simply cannot for the simple
reason he had never seen the accused. Why is that our ace preventive officers
shy away from taking witnesses with them? Maybe easier said than done. Where
do you get witnesses? And who will waste three or four hours of his time to
witness your search and perhaps later appear in court? But look at the way the
CBI does it! They call the witnesses to their offices, tell them about the search
operation, record a mahazar and then take them to the scene of operation where
a fresh mahazar is recorded. Witnesses can hardly go back in such situations.</font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">In
the euphoria of getting a case, the small details are neglected and these prove
costly as it happened in the Supreme Court case we are reporting today. The
witnesses - auto driver and panwallah told the court that they were made to
sign blank papers and they had not seen the search. </font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The
case was lost because of these minor details. Incidentally the Prosecution argued
that “alright we failed to prove his guilt, but he also failed to prove his
innocence”. “He was not required to”, asserted the Supreme Court.<strong> </strong><b>The
prosecution was required to prove its case beyond all reasonable doubt. If the
prosecution has failed to prove its case, it cannot fill up the lacuna by contending
that Appellant has not proved its defence.</b></font></p>
<p align="justify" '><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The
Supreme Court further explained that <strong>suspicion, however great it may
be, cannot take the place of legal proof. A moral conviction however strong
or genuine cannot amount to a legal conviction supportable in law.</strong></font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">So
to get conviction in a court of law, you need something more than your righteousness
– you need unassailable evidence.</font></p>
<p align=center ><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>The
IIM <i>idly</i> captures</b></font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Our
story on Sharath Babu, evoked tremendous response – not all adulating. We bring
you a few of the responses. We request Netizens to post their comments on the
message board instead of e mailing them to us. </font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">I
am extremely delighted to read the story of Mr Sarathbabu. It was very encouraging.
He set as an example for so many young ones. No doubt that he will achieve whatever
he wants to do in his life. </font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">I
wish him all the best for all his future endeavours.</font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Malathy</font></p>
<p align="justify" >---------------------------------------------------------------------------------------------------</p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Dear
Sri. Sarathbabu, </font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">In
these days where qualified people are out to Rs.50 K and other denominations,
U've taken upon yourself to employ 50 K people. Very few takers to the target
set by U. Wish U good luck. </font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">with
regards, </font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">ravichander. </font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">----------------------------------------------------------------------------------</font></p>
<div align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Great.
A project with a bank loan of 8 lakhs is inaugurated with the promoter's family
flying in from Chennai to Ahmedabad. Forty-five employees including Chartered
Accountants and MBAs. A shrewd, sustaining, and successful hotel management
can never approve such lavishness. The new born dream is just five months old.
It is Time for the youngman to tighten the belts and learn from the experience
from the others than limiting his approach to the tricks he learnt in IIM. I
look forward for the annual review of this youngman's performance. All the best.
</font></div>
<div align="justify" >
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">G.
Prabhakara Sastry </font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">----------------------------------------------------------------------------------------------------</font></p>
</div>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Subject:
touching,moving,inspiring ('I want to provide employment to 50,000 people')</font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Message
:I want sarath's email </font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">baranwalashutosh</font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">--------------------------------------------------------------------------------------------------</font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Indeed
this is an inspiring story to one & all. Recently, Anna Nagar Times too
have devoted a full page on this story line. You have done a great job of highlighting
it in Tax India Online, which is widely read by many. </font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Good
job. </font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Sampath </font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">---------------------------------------------------------------------------------------------------</font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif"> And
was thinking about that article on Sarath Babu. Not the article really but about
why I find it so difficult to appreciate these people. People who refuse to
take all the opportunities for happiness that life offers them. Ok, happiness
is subjective. But why is it so sinful to think about yourself, put yourself
ahead of all others? Who doesn't like the comfort and safety of a pukka house?
It's nice that he still remembers where he comes from but that's no reason to
let his mother stay in a place, a hut, they all associate with hunger and poverty.
And he running a catering business is such a cruel waste of his education. Why
his, any education. It doesn't take an MBA from an IIM to figure out why idly
in Ahmedabad sets you back by Rs.30 because it is almost exotic there and people
pay for exotica. ok, he's the MBA we'll let him figure out how complicated that
is but why is he wasting himself on something so easy, so small scale. He says
to employ people, maybe if he joins the mainstream and gets richer/powerful
he can do more for more people than he ever will now. This exactly is what makes
the Infy Narayan Murty bearable, inspite of all the I'm so humble …. Why oh
why is it necessary that you live a plain life to be known as humble? I mean
look at Bill Gates, he lives the good life and employs so many people with jobs
that do a lot more than just pay the rent and is trying to eradicate polio in
a country he has nothing to do with but he lives the good life. </font></p>
<div align="justify" >
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Aishwarya</font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">---------------------------------------------------------------------------------------------------</font></p>
</div>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">And
a senior executive in a MNC called me up and informed, “I am inspired by Sarath
Babu; I want to resign and start indirect taxes consulting; what are the prospects?”.
I told him that tax consulting was not exactly as popular and in demand as idlies.
</font></p>
<p align="justify" ><font color="#FF3333" size="2" face="Verdana, Arial, Helvetica, sans-serif"><font color="#FF6666">Until
tomorrow with more DDT </font></font></p>
<p align="justify" ><font color="#FF6666"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Have
a nice day. </font></font></p>
<p align="justify" ><font color="#FF6666"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Mail
your comments to</font></font><font size="2" face="Verdana, Arial, Helvetica, sans-serif">
<a href="mailto:vijaywrite@taxindiaonline.com">vijaywrite@taxindiaonline.com</a></font></p>
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