RONUK MANUFACTURING COMPANY Vs. COMMISSIONER OF C. EX.

JUDGEMENT

(1.) THE appeal is filed by M/s. Ronuk Manufacturing Company, Mumbai, against the Order -in -Appeal dated 11.2.2005 passed by the Commissioner of Central Excise (Appeals), Mumbai.

(2.) THE appellants are engaged in the manufacture and clearance of embossed pleated fabrics falling under Chapter Heading No. 54.06 of CETA, 1985, is chargeable to Central Excise basic duty @12% and additional excise duty @8% ad valorem. The said process of embossing is covered under "Any other process" as per Chapter Note 4 of Chapter 54, hence pleating is treated as amounts to "manufacture". The Officers of Central Excise, Mumbai -I, booked a case against the appellants for clearing of goods clandestinely without Central Excise registration and without payment of Central Excise duty. The appellants were issued Show Cause Notice dated 23.4.1998 demanding duty of Rs. 15,49,165/ - under Section 11A of the Central Excise Act, 1944. On the same ground, another Show Cause Notice dated 5.6.1988 was also issued with regard to the period December 1997 to January 1998. The Joint Commissioner confirmed the total duty amounting to Rs. 23,42,977/ - under Section 11A of the Act with interest and imposed penalty of Rs. 15,00,000/ - under Rule 173Q of the Central Excise Rules, 1944, which has been upheld by the Commissioner of Central Excise (Appeals), Mumbai. Hence this appeal.

(3.) THE ld. Commissioner in his impugned order in Para 7 at end observed that "The Tribunal judgment in the appellants case, when fabrics were assessed in the erstwhile Central Excise Tariff, which is no longer applicable. In view of the said facts as discussed above, the ratio of Hon'ble Supreme Court in the case of M/s. Siddheswari Cotton Mills could not be made applicable in the present case".