THIRD MEMBER ON REFERENCE : SHRI M.V. RAVINDRAN, MEMBER (J) COMMISSIONER OF C. EX., BHAVNAGAR Vs. NAV BHARAT STEELS RE-ROLLING

JUDGEMENT

(1.) ALL the appeals filed by Revenue against the order of Commissioner (Appeals) are being disposed by a common order as they arise out of the same impugned order passed by Commissioner (Appeals).

(2.) AFTER hearing both the sides, we find that the respondents were engaged in the manufacture of Non Alloy Steel Hot -Re -Rolled Products falling under Chapter 72 of the First Schedule to the Central Excise Tariff Act, 1985 which were notified goods under erstwhile Section 3A of the Central Excise Act, 1944 and the levy and payment of duty in respect of the goods were governed by erstwhile Rule 96ZP of the Central Excise Rules, 1944. All the respondents were working under the ambit of the scheme as laid down under Rule 96ZP(3) for the purpose of payment of duty leviable on the goods. The respondents were required to pay amount equal to one -twelfth of their full and final duty liability for the year, every month by 10th of such month. The respondents failed to discharge their duty liability within the time stipulated under erstwhile Rule 96ZP(3) and were therefore liable for penal action under the said Rule. Therefore, respondents were issued show cause notices proposing imposition of penalty on them. Accordingly, the show cause notices were adjudicated and the adjudicating authority imposed penalties.

(3.) THE said order of imposition of penalties by the original adjudicating authority was challenged by the appellants before Commissioner (Appeals), who confirmed the same by two orders -in -appeals dated 7 -1 -2005 and 17 -2 -2005, rejecting the appeals and upholding the imposition of penalties of Rs. 6000/ -.