MALWA COTTON SPINNING MILLS LTD. Vs. CCE

JUDGEMENT

(1.) THIS appeal has been preferred by the appellants against the impugned Order -in -Appeal dt. 1.2.2002 passed by the Commissioner (Appeals) vide which he had confirmed the order -in -original dt. 27.3.2000 of the Addl. Commissioner.

(2.) THE appellants are engaged in the manufacture of cotton yarn and man made yarn. Their unit was visited by the Central Excise Preventive Officers, from 25th January to 27 January 1999. On checking, they detected excess stock of 16.791 MT of polyester/viscose fibre and shortage of 25.283 MT of acrylic fibre and nylon. The excess stock was seized. After giving show -cause notice to the appellants, the adjudicating authority ordered confiscation of seized goods but gave option to the appellants to get the same redeemed on payment of redemption fine of Rs. 1.5 lakhs and further confirmed the demand of Rs. 3,35,244.98 involved on the goods found short. The adjudicating authority also imposed penalty of Rs. 50,000 under Rules 571 and 173Q. This order was passed by the adjudicating authority on 27.3.2000 and the Commissioner (Appeals) had affirmed that order.

(3.) I have heard both sides.