AGARWAL FOUNDARIES Vs. COMMISSIONER OF C. EX., HYDERABAD

JUDGEMENT

(1.) THIS appeal has been filed against the Order -in -Appeal No. 11/2006 (H -IV) -C.E., dated 7 -2 -2006, passed by the Commissioner of Customs & Central Excise (Appeals -II), Hyderabad.

(2.) THE Central Excise officers visited the premises of the appellants. They found shortage of 28.765 MTs of finished goods valued at Rs. 5,17,770/ -. The proprietor accepted the shortage and subsequently paid the duty. Revenue proceeded against various violations of Central Excise Act/Rules. The Apex Court confirmed the duty demand of Rs. 62,132/ - and Education Cess Rs. 1243/ - which have already been paid by the appellants on the shortage of the goods. Further interest was also demanded. A penalty of Rs. 20,000/ - was imposed under Rule 25 of Central Excise Rules, 2002. The appellants approached the Commissioner (Appeals). The Commissioner (Appeals) has modified the order of the lower authority and passed the impugned order. The appellants strongly challenged the impugned order.

(3.) SHRI L. N. Goyal, the learned Consultant appeared for the appellants and Shri K. S. Reddy, the learned JDR appeared for the Revenue.