Customs, Excise and Gold Tribunal - Delhi
M/S. Himtaj Ayurvedic Udyog Kendra, ... vs Cce, Allahabad on 29 May, 2001
ORDER
Justice K. Sreedharan
1. In this appeal (E/534/2001-C) order-in-Original MP(Demand)-49/200) 21 of 2000 dated 31.10.2000 passed by the Commissioner of Central Excise, Allahabad is under challenge. As per that order Himtaj tel manufactured by the appellant was classified as 'Perfumed Hair oil' falling under chapter sub-heading 3305.10 of the Central Excise Tariff Act, 1985. Consequently the manufacturer has been directed to pay duty of Rs.1,64,56,697.19 in relation to goods cleared from 17.8.92 to September 1995. An equal sum has been imposed by way of penalty invoking the provisions contained in Section 11AC of the Act. Along with the appeal petition has been moved for waiving pre-deposit contemplated by Section 35F of the Act as also for staying proceedings for recovering amount covered by the impugned order.
2. As per the impugned order a penalty of Rs.150 Lakhs has been imposed on Shri Krishna Kumar Pandey, Managing Director of M/s Himtaj Ayurvedic Udyog Kendra. Aggrieved by the penalty so imposed he preferred appeal E/533/2001-C. Appellant has also moved an application for stay.
3. Classification of identical goods came up for consideration before the East Zonal Bench of this Tribunal and Tribunal, Delhi. By Final Order 848/CAL/2000 dated 29.6.2000, East Zonal Bench classified the goods under 3003 of the Tariff as ayurvedic medicine. The Delhi Bench which dealt with the same goods classified it under chapter heading 3305 of the Tariff as Perfumed Hair Oil in its Final Order No.880/99-C dated 28.9.90. Since co-ordinate benches have taken conflicting views regarding classification of identical goods, the issue has to be resolved by a Larger Bench. In this view, appellants have made out an arguable case which has to go before a Larger Bench to resolve the conflicting views expressed by co-ordinate benches. Consequently, we waive pre-deposit. Respondent, the Revenue, are directed not to take any coercive step for recovering the amount covered by the order impugned in these appeals until further orders. Post the appeal before Larger Bench of three Member during the second week of July, 2001. Revenue have filed a memo of cross objection in this appeal. That memo of cross objection will also be posted before the Larger Bench.