MAHADEV PACKAGING PVT. LTD. Vs. CCE

JUDGEMENT

(1.) HEARD both the sides.

(2.) THE Revenue filed this appeal against the Order -in -Appeal passed by the Commissioner (Appeals) whereby the Commissioner (Appeals) held that the show cause notice was issued by the Assistant Commissioner invoking the extended period of limitation under Section 11A of the Central Excise Act alleging suppression of facts is without jurisdiction.

(3.) THE brief facts of the case are that the respondents are engaged in the manufacture of pouches of plastic. On 4.3.99, the Officers of Revenue Department visited the factory of the respondents during the scrutiny of the record it was found that the respondents evaded the duty amounting to Rs. 3,08,810.06 by clearing the final product under the garb of job work and under the garb of reprocessed goods. The respondents were also not including the cost of printed cylinders in the assessable value of their final products. A show cause notice was issued to the appellants by the Assistant commissioner invoking the provisions of Section 11A (1) of the Act. The adjudicating authority after relying upon the Board's Circular No. 229/15/97 -CX dated 27.2.1997 held that the demand beyond the period of six months, from the date of issue of show cause notice, is time bared due to lack of jurisdiction. The respondents filed the appeal and the Commissioner (Appeals) held that as per Board's Circular dated 27.2.97 only the Commissioner can issue a show cause notice in the case fraud, collusion or any wilful mis -statement or suppression of facts, etc. As the Assistant Commissioner issue show cause notice alleging suppression with an intent to evade payment of duty, therefore the whole of show cause notice is without jurisdiction.