CCE Vs. YAMUNA BARDANA TRADERS

JUDGEMENT

(1.) THIS is an appeal filed by the Revenue against the Orders of the Commissioner (Appeals).

(2.) THE respondents, M/s Yamuna Bardana Traders, were engaged in the manufacture of HDPE/PP Bags. During the preventive checks conducted by the Department in the premises of the respondents on 18.12.1997, the goods were found short than the recorded balance in RG -1 Register. The respondents admitted the shortage and deposited duty amounting to Rs. 2,09,000/ - under protest out of Rs. 2,09,612/ -. In the order -in -original issued by the Deputy Commissioner on 27.11.1998, the demand was confirmed and penalty of equal amount of duty under Section 11 -AC, earlier imposed. Besides, they were also made liable for payment of interest under Section 11 -AB. Aggrieved by the said order of Deputy Commissioner, the respondents filed an appeal before the Commissioner (Appeals). In his order dated 13.05.2003, the Commissioner (Appeals) has set aside the orders of Deputy Commissioner observing that, the input fabric was issued from RG -23A, Part I account, for manufacture and the said fabric was accounted as production ie. HDPE bags without actually stitching bags from the fabrics and that the verification of in -process material was not carried out. Aggrieved by the orders of the Commissioner (Appeals), the Revenue has approached the Tribunal on the following grounds :

(3.) NOBODY represented the respondents today, despite the notice for today's hearing. The learned JDR reiterated the grounds of appeal. To support her contention, the following case laws are relied upon :