COMMR. OF C. EX., MANGALORE Vs. SUSHIL CHEMICALS

JUDGEMENT

(1.) REVENUE has filed appeals against the de novo OIO No. 01/2003 dated 7 -11 -2003/14 -11 -2003 passed by the Commissioner of Central Excise, Mangalore. The Respondents have also filed their Cross -objections. They are taken up together for disposal.

(2.) SHRI R.P. Raheja, the learned JCDR, appeared for the Revenue and Shri K. Parameswaran and Smt. M. Jamuna Rani, the learned Advocates, appeared for the respondents.

(3.) WE heard both sides. Revenue conducted certain investigations into the functioning of a group of nine units. The persons associated with these units belong to one family. Show Cause Notices were issued proposing clubbing of clearances of all the units. Duty to the tune of Rs. 4,27,11,520/ - was demanded. Irregular credit availed to the tune of Rs. 13,95,374/ - was demanded. Penalties were also imposed totally amounting to Rs. 150 lakhs. The Order -in -Original was No. 9/97 dated 24/28 -10 -1997. The assessees approached CEGAT. The CEGAT, in its Final Order Nos. 1562 to 1577/2001 dated 9 -10 -2001, remanded the matter to the Original Authority with the following observations : -