SHREE PRECOATED STEEL Vs. COMMISSIONER OF CENTRAL EXCISE

JUDGEMENT

(1.) HEARD both sides. The present appeal is against an order of Commissioner who has imposed a fine of Rs. 41,97,000/ - in lieu of confiscation of "G.P. Steel colour coated sheets," seized from the premises of the appellants the matter was earlier remanded Vide this Tribunal order No. C1/2193 -97/WZB/99 dated 26/5/99 directing the Commissioner to examine the appellants contention that there was an all Industry's practice of recording production in RG1 register only at the time of clearance and there after determine the matter.

(2.) THE appellants is a Public limited company engaged in the manufacture of aluminium plates, plains sheets, G.P. Colour coated steel G.P. coil etc; and holds Central Excise License since July, 1993. The main raw materials used by the appellants in its plant are aluminium sheets/coil, G.P. steel sheets/coils, paint and chemicals including isocyanate and polyols. The aluminium sheets/coil and G.P. steel/coil are first cleaned with chemicals and thereafter colour coated coils are inspected by the quality control department graded depending upon the finish achieved. Such colour coated coils are either cleared on payment of duty after being finally packed and weighed or are capitvely consumed in the plant by transferring the same to either of the following two lines:

(3.) CONSEQUENT to the enquiry made a show cause Notice was issued on 1/ -12 -96 for -