2004 (1) TMI 554 - AT - Central Excise

Summary

Issues: Challenge to order-in-appeal confirming confiscation of unaccounted goods and penalty imposition.

The judgment pertains to an appeal challenging an order-in-appeal confirming the confiscation of unaccounted goods and imposition of penalty. The appellant argued that Rule 173Q could not be invoked for non-accountal of goods, citing the case of Bhillai Conductors. The respondent supported the impugned order, referring to the cases of Kirloskar Brothers and Media Video Ltd. The Tribunal noted that the non-accountal of goods was not disputed, and while Bhillai Conductors required proving mala fide intention, no evidence of bona fide mistake was presented in this case. The Tribunal cited Kirloskar Brothers and Media Video Ltd., stating that Rule 173Q can be invoked for non-accountal of goods. Additionally, Rule 226 provides for penalty and confiscation of non-accounted goods, rejecting the argument that confiscation could not be ordered under any provision of law.

The Tribunal upheld the impugned order, finding it valid based on the lack of evidence of bona fide mistake in non-accountal of goods. The appeal was rejected, affirming the confiscation of unaccounted goods and imposition of penalty as ordered by the adjudicating authority and confirmed by the Commissioner (Appeals).