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TMI Blog1992 (9) TMI 186X X X X Extracts X X X X X X X X Extracts X X X X ..... .B. room in a place marked as semi-finished room. Suspecting that the goods were intended for clandestine removal, the officers seized the dyestuff contained in the said 40 drums after drawing samples of all the 13 different varieties of dyes. They also drew samples from the finished goods lying in EB 4 room for comparison. The officers also seized the records available in the factory. After carrying out the necessary tests the Chemical Examiner submitted his report in which he opined that the seized goods had dyeing property and as such they were marketable. After scrutiny of the seized records and further investigations the appellants were served with a notice dated 3-3-1986 alleging that (i) by deliberately misdeclaring dye-stuff falli ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 804 kgs which had been released provisionally, on payment of a fine of Rs. 5,000/- and on that account ordered the appropriation of the cash deposit of Rs. 5,000/- made on 23-12-1985. In respect of the balance quantity of synthetic organic dyestuff weighing 960.5 kgs also he gave an option for redemption on payment of a fine of Rs. 7,500/-. In addition, penalties to the tune of Rs. 1,000/- under Rule 9(2) and Rs. 12/500/- under Rule 173Q were also imposed on the appellants. 3. On behalf of the appellants the learned advocate Shri Rathina Asokan appeared before us. He stated that the learned Additional Collector had failed to note that the seized Synthetic Organic dyestuff were only semifinished goods and as such they were not marketable. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uring processes such as pulverisation. On these grounds, he contended that there was no infirmity in the order passed by the Additional Collector. 5. We have examined the records of the case and considered the submissions made on behalf of both sides. The short point to be decided in this case is whether the seized Synthetic Organic Dyestuff could be deemed as having attained the RG-1 stage after completion of the manufacturing process. In this regard it is said that the appellants case is that the Synthetic Organic Dyestuff weighing 1764.5 kgs had not been entered in RG-1 since the goods had not attained the stage for commercial sale. According to the appellants Synthetic Organic Dyestuff could be deemed as finished Excisable product un ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... w of these findings arrived at by the Chemical Examiner, we are inclined to agree with the adjudicating authority that the seized goods were fully manufactured excisable goods falling under Tariff Item 14-D. We also do not find any force in the appellants contention that in respect of Synthetic Organic Dyestuff the manufacturing process is completed only after the blending of the goods in accordance with the requirements of individual customers. 8. In view of the foregoing we uphold the Additional Collector s finding that the appellants had failed to record the seized Synthetic Organic Dyes-tuff which were in fully manufactured state in RG-1 and thereby they had contravened the provisions of Rules 53 and 226 of the Central Excise Rules r ..... X X X X Extracts X X X X X X X X Extracts X X X X
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