9911796707
TMI Blog2004 (5) TMI 429X X X X Extracts X X X X X X X X Extracts X X X X ..... , for the Respondent. [Order per : P.G. Chacko, Member (J) (Oral)]. Examined the records and heard both sides. 2. The adjudicating authority has confirmed a demand of duty of Rs. 133.89 lakhs against M/s. Thejo Engineering Services Pvt. Ltd., (M/s. TES, for short). It has also imposed on them a penalty of equal amount under Section 11AC read with Rule 173Q. The demand is on various pro ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s. 53.92 lakhs on Repacked Solution and Hardener cleared by M/s. Saroth Bonds to M/s. TES and subsequently cleared by the latter to third parties for the period 1-10-1997 to 30-3-2000. (iv) Rs. 43.90 lakhs demanded from M/s. TES on the basis of clubbing of their clearances with those of M/s. Saroth Bonds for the period 1995-96 to 1999-2000. Ld. Counsel has argued that, had the Commissioner v ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... oods on account of the fact that the repacking undertaken by M/s. TES was manual and there was no pilfer-proof sealing of the repacked goods. Ld. Counsel, in this context, has relied on the instructions dated 20-5-1997 issued by the Commissioner of Central Excise, Chennai (copy available on record). He has also cited the Board s Circular dated 8-10-1997. We have seen both these documents. The Comm ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g in the impugned order, which could justify the invocation of extended period of limitation for demanding this amount. 3. Regarding the demands of duty of Rs. 53.92 lakhs and Rs. 43.90 lakhs, it has been submitted by the Counsel that these demands are based on a wrong finding, which is to the effect that the clearances of M/s. TES and M/s. Saroth Bonds are liable to be clubbed. It has been poin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s of duty demanded by the Commissioner, barring the amount of Rs. 5.46 lakhs, which shall be deposited by the party within a month. 4. Since we have found a strong prima facie case in respect of a major part of the demand, we are inclined to dispense with the requirement of pre-deposit of the penalty amounts. It is ordered accordingly. 5. M/s. TES shall report compliance on 28-6-2004. - - T ..... X X X X Extracts X X X X X X X X Extracts X X X X
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