1994 (11) TMI 277 - AT - Central Excise

Summary

Issues:
1. Condonation of delay in filing additional appeals.
2. Penalty imposed for removing vehicles in violation of Central Excise Rules.

Condonation of Delay:
The appellants had filed the appeal in time, but there was a delay in filing additional appeals as directed by the Tribunal. The Tribunal condoned the delay in filing the appeals due to the original appeal being filed on time.

Penalty for Violation of Central Excise Rules:
The appeals arose from an order penalizing the appellants for removing vehicles received under Rule 191B(6) of the Central Excise Rules, 1944, and shifting them to a sister concern in violation of the rules. The appellants argued that they had accounted for the vehicles and removed them due to a sudden emergency to prevent potential damage. They informed the authorities promptly and followed guidelines for removal in emergencies. The Revenue contended that the removal was without informing the authorities and without proper record entry.

The Tribunal noted that the chassis received under bond were properly accounted for. The appellants claimed they received an anonymous call warning of potential damage to the vehicles, prompting them to move the chassis to their sister concern's premises nearby. They made efforts to contact the Assistant Collector and informed the authorities the next morning. The Tribunal found that the appellants acted in good faith to prevent damage to the chassis, belonging to someone else, under immediate threat. Considering the circumstances and adherence to Board instructions on removal in emergencies, the Tribunal held that the appellants took necessary steps and kept the authorities informed. Consequently, the Tribunal ruled that no penal action was warranted, setting aside the penalty order and allowing the appeals.

In conclusion, the Tribunal upheld the appellants' actions as taken in good faith to prevent damage, in line with emergency removal guidelines, and found no grounds for imposing penalties.