9911796707
TMI Blog1997 (1) TMI 322X X X X Extracts X X X X X X X X Extracts X X X X ..... . and removed to M/s. Kemp Co. Ltd. as sports goods . The sports goods were eligible for exemption under Notification No. 73/86-C.E., dated 10-2-1986. No such exemption was, however, available to the toys or the component parts of the toys. Proceedings were drawn against M/s. Blow Plast Ltd., M/s Kemp Co. Ltd. and the various directors and employees of M/s. Blow Plast Ltd. The duty involved was Rs. 60,452.17 and the period involved was July 1986 to December 1986. After observing the principles of natural justice, the Addl. Collector of Central Excise, Aurangabad, confirmed the demand of central excise duty of Rs. 60,452.17, and imposed a penalty of Rs. 25,000/- on M/s. Blow Plast Ltd. In addition, a penalty of Rs. 5,000/- was imposed o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s/outdoor games and components of other plastics for sports/outdoor games. They sought exemption under Notification No. 73/86-C.E., dated 10-2-1986 (effective from 28-2-1986) as applicable to the sports goods. They classified their products under Heading No. 95.06 of the Central Excise Tariff which covered articles and equipment for gymnastics, athletics, other sports (including table-tennis) or outdoor games, not specified or included elsewhere in Chapter 95. On visit by the Headquarters Preventive Officers to the factory premises of M/s. Blow Plast Ltd. on 14-12-1986, it was found that M/s. Blow Plast Ltd. were manufacturing component parts for different toys which were marketed as saucer gun, bulls eye and shoot out gun. These components ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ing the components of toys as component of sports goods. We do not find any material on record to interfere with these findings of the adjudicating authority. 6. The duty involved in these proceedings is Rs. 60,452.17. A penalty of Rs. 25,000/- had been imposed on M/s. Blow Plast Ltd. In the facts and circumstances of the case, we reduce the amount of penalty from Rs. 25,000/- to Rs. 10,000/- (rupees ten thousand only). The penalty of Rs. 5,000/- imposed on M/s. Kemp Co. Ltd., Jalgaon, and penalty amount of Rs. 5,000/- imposed on Shri D.G. Piramal, Chairman, are confirmed. The penalties on other directors and General Manager are set aside. 7. As a result the demand of duty of Rs. 60,452.17 is confirmed. The penalty imposed on M/s. Blo ..... X X X X Extracts X X X X X X X X Extracts X X X X
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