GALAXY TEXTILES Vs. COMMISSIONER OF CENTRAL EXCISE, VAPI

JUDGEMENT

(1.) BOTH the appeals are being disposed off by a common order as they arise out of the same impugned order confirmed by the authorities below vide which duty of Rs. 93,029/ - stands confirmed against M/s. Galaxy Textiles along with imposition of penalty of identical amount in addition penalty of Rs. 30,000/ - stands imposed on Shri C.B. Amin, Authorised Signatory of M/s. Galaxy Textiles.

(2.) AS per facts on record M/s. Galaxy Textiles is a 100% EOU engaged in the manufacture of polyester texturised yarn and polyester knitted fabrics, out of the raw material obtained indigenously or imported free of duty. Their factory was visited by the officers on 12/13 -2 -2004, who conducted various checks and verifications, a shortage of 2.530 KGs of finished goods i.e. polyester texturised yarn was detected vis -a -vis the entries made in RG -1 register. Statement of the partner as also of the authorized signatory were recorded admitting such shortages.

(3.) ON the above basis, proceedings were initiated against the appellants which culminated into an order passed by the original adjudicating authority confirming demand of central excise duty on the clandestinely removed final product as also the customs duty on the raw materials used in the manufacture of such goods. Penalties were also imposed on the appellant company, its partner and authorized signatory.