K. Prakash Anand, Member (T)

1. It is alleged in the present matter that appellants used 23,45,352 Kgs. of kraft paper for manufacture of kraft board during the period from April, 1972 to November, 1974 but accounted for only 15,14,438 Kgs. of kraft board. The Department, therefore,, charged appellants with manufacture, non-accountal and removal without payment of duty and without observing due procedure 5,01,544 Kgs. of kraft board.

2. Shri K. Narasimhan, Advocate appears, on behalf of the appellant. He submits that the period for which duty has been demanded is April, 1972 to November, 1974. The show cause notice was issued on 12th May, 1975. Thereafter what is described by the learned Advocate as a corrigendum, was issued by the Department on 10th February, 1977 which explained the basis of duty demanded in the show cause notice dated 12th May, 1975. According to the learned Advocate the first show cause notice issued on 12th May, 1975 was in fact incomplete and it is only with the issue of the subsequent notice of 10th February, 1977 that the show cause notice can be considered to have been finalised. Accordingly, limitation should count from the date of the corrigendum and