9911796707
TMI Blog2024 (12) TMI 1298X X X X Extracts X X X X X X X X Extracts X X X X ..... plication of mind and is perverse?" 4. Facts giving rise to filing of the appeal in nutshell are that the appellant and M/s. Gautam Tincans & Other Metal Works (for short, 'M/s. Gautam Ticans') were engaged in the manufacture of metal containers. The Officers of the Central Excise, Anti-Evasion Wing, Hyderabad-II Commissionerate visited the factory of the appellant and M/s. Gautam Tincans on 29.01.1998 and they found that the appellant had contravened the provisions of Rules 9(1), 52A, 173G, 173F and 226 of the Central Excise Rules, 1944 (hereinafter referred to as 'the Rules') read with Notification Nos.1/93-CE dated 28.02.1993 and 38/97-CE dated 27.06.1997 and pointed out that the appellant manufactured 15 kg. tins and cleared them without payment of duty and it failed to account for all the 15 kg. tins manufactured and cleared to oil & vanaspathi industries, as required under the Rules. 5. Thereafter, the Commissioner of Customs and Central Excise, Hyderabad-II Commissionerate, Hyderabad, (for short, 'the Commissioner') had issued show cause notice dated 30.03.1999 to the appellant and others, whereunder the appellant is directed to submit explanation as to why an amount of Rs ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ability on the appellant, and interest under Section 11 AB to be demanded on the duty short paid for a period after 28.09.1996. 8. Pursuant to the above said order, the Commissioner after re-considering the contentions of the respective parties and after verification of the records, re-determined the total differential duty liability on the appellant is Rs. 10,53,071/- instead of Rs. 39,59,368/- basing on the reduction in the duty liability has taken into consideration as per Rule 9 (2) of the Rules read with proviso to sub-section (1) of Section 11A of the Central Excise Act, 1944, and the appellant is liable to pay a duty of Rs. 5,95,427/- for a period after 28.09.1996 on which interest as applicable and at the prescribed rate should be paid under Section 11AB of the Central Excise Act, 1944 by its order dated 29.07.2005. 9. Aggrieved by the above said order, the appellant filed appeal No. E/970/2005 before the Appellate Tribunal and the same was dismissed on 02.08.2007 confirming the order of the Commissioner. Thus, the appellant filed the present appeal. 10. Learned counsel for the appellant submitted that the Appellate Tribunal has not considered the material evidence on re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... notice). ii) Penalty equivalent to the Central Excise duty not paid should not be imposed on them under Section 11AC of Central Excise Act, 1944 and also interest should not be demanded from them under Section 11 AB of Central Excise Act, 1944. iii) See amendment dt. 11.05.2000." 15. Pursuant to the said show cause notice, the appellant filed reply on 08.12.1999. The Commissioner after considering the reply, passed order on 31.10.2000 in Order-In-Original No. 02 of 2000-Adjn.C.Ex., which is extracted below for the facility of reference: "i) Under Section 11A of the Central Excise Act, 1944, I confirm an amount of Rs. 20,46,683/- being the excise duties fraudulently evaded prior to 28.09.96 and an amount of Rs. 19,12,685/- being the excise duties fraudulently evaded on and after 28.09.96, totally amounting to Rs. 39,59,368/- (Rupees thirty nine lakhs fifty nine thousand three hundred and sixty eight only) demanded in the show cause notice from M/s. Kamal Industries, D-16&17 Industrial Estate, Chandulal Baradari, Hyderabad, and direct them to pay the said amounts forthwith. ii) Under Rule 173Q of the Central Excise Rules, 1944, I impose a penalty of Rs. 20,00,000/- (rupees ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tion (1) of Section 11A of the Central Excise Act, 1944, I confirm an amount of Rs. 4,57,644/- (Rupees Four Lakhs fifty-seven thousand six hundred and forty-four only) being the excise duty fraudulently evaded prior to 28.09.1996 and an amount of Rs. 5,95,427/- (Five Lakhs Ninety-Five Thousand Four Hundred and Twenty-Seven only) being the excise duties fraudulently evaded on and after 28.09.1996, totally amount to Rs. 10,53,071/-(Rupees Ten lakhs fifty three thousand and Seventy one only). The amount of Rs. 10,12,753/- already paid by them is adjusted towards aforesaid duty liability. The balance duty payable by them is Rs. 40,318/- (Rupees Forty thousand three hundred and eighteen only). ii) Under Rule 173Q of Central Excise Rules, 1944, I impose a penalty of Rs.4,50,000/-(Rupees Four Lakhs Fifty Thousands only) on M/s. Kamal Industries, Hyderabad for the excise duties amounting to Rs. 4,57,644/- fraudulently evaded prior to 28.09.1996. iii) Under Section 11AC of Central Excise Act, 1944 and read with the proviso therein, I impose a penalty of Rs. 5,95,427/-(Rupees Five Lakhs Ninety Five Thousands Four Hundred and Twenty Seven only) on M/s. Kamal Industries, Hyderabad for the ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
