Custom, Excise & Service Tax Tribunal
M/S Balajee Perfumes Vs. C.C.E., vs M/S Pavan Prabhu, Proprietor Delhi Ii on 30 October, 2008
CUSTOMS EXCISE & SERVICE TAX APPELLATE TRIBUNAL, West Block No.2, R.K.Puram, New Delhi COURT-I Date of hearing/decision:30.10.2008 Stay Application Nos.1964-1965 of 2008 in Central Excise Appeal Nos.2017-2018 of 2008 -SM Arising out of the order in appeal No.72-73/2008 dated 20.6.08 passed by the Commissioner of Central Excise (Appeals), Delhi II. Appellant Respondent
M/s Balajee Perfumes vs. C.C.E.,
M/s Pavan Prabhu, Proprietor Delhi II
Appearance:
Shri L.P. Asthana, Advocate for the appellant
Shri S.K. Bhaskar, Authorized Departmental Representative (DR) for the Revenue Coram: Honble Mr. Justice S.N. Jha, President Order No.____________________ Per Justice S.N. Jha:
In terms of the impugned order , the appellant, M/s Balajee Perfumes is required to pay central excise duty of Rs.3,78,101/- besides penalty of Rs.3,89,034/-. Penalty of Rs. One lakh has been imposed on appellant in the other appeal. They have filed applications for waiver of pre-deposit in terms of Section 35F of the Central Excise Act, which have come up for consideration.
2. The appellant, Balajee Perfumes is engaged in the manufacture of pan masala (gutka) by the trade names , Maruti, Kaveri and Ajeet. In the course of visit of the appellant premises, some empty pouches were found. Stuffed pouches were also recovered from the premises of their dealer of M/s Devaki Krishna Traders at Hubli, which have been confiscated with option for release on payment of redemption fine, and penalty also imposed. So far the first appellant is concerned, duty demand has been made on the finding that the goods were cleared without payment of central excise duty.
3. After hearing the parties, I do not find any prima facie case in favour of the appellant to justify the waiver of pre-deposit. However, it was stated by the learned counsel for the appellant that during the course of investigation, the appellant had paid a sum of Rs.35 lakhs on account to the Central Excise Department which is still lying with Department. It was submitted that the appellant may not be asked to deposit the amount in question for hearing the appeal. I find the submission to be reasonable. I, accordingly, direct that the amount of Rs.3,78,101/- out of the said amount of Rs.35 lakhs may not be refunded to them till disposal of the appeal. In other words, the said amount of Rs.3,78,101/- may be treated as pre-deposit for the purpose of compliance of Section 35F. Pre-deposit of the penalty imposed on appellant in both the appeals is dispensed with.
4. The stay applications stand disposed of.
(Dictated and pronounced in the open Court) (Justice S.N. Jha) President scd/