Customs, Excise and Gold Tribunal - Delhi
M/S. Samtel India Ltd. vs C.C.E., New Delhi on 8 May, 2001
ORDER K.K. Bhatia, Member (T)
1. The brief facts in this case are that the appellants manufacture "display monitors" classifiable under Chapter heading 8471.00. On 16.10.96 their factory premises were visited by the anti-evasion branch of Central Excise Commissionerate, New Delhi and they conducted physical verification of the fully finished excisable goods and also the input items. On conducting stock taking, 53 monitors were found in fully finished condition which are not entered into their RG.1 Register. Further, the inputs valued at Rs. 9,35,785/- involving Central Excise duty of Rs. 1,71,514/- were found short as against the entries in their RG. 23A Pt.I account. Accordingly, the proceeding were initiated which culminated in the Addl. commissioner of Central Excise, Faridabad passing an Order dt. 27.2.98, in which she ordered for the confiscation of the 53 monitors, but gave the party an option to redeem them on payment of a fine of Rs. 3,500/-. The Adjudicating Authority further confirmed a demand of Rs. 1,71,514/- in respect of the inputs found short on which the party had already availed the modvat credit. Penalties of Rs. 37,725/- under Rule 173-Q(1) and of Rs. 2,000/- under Rule 226 of the Central Excise Rules, 1944 were further imposed on the appellants.
2. The party filed an appeal but the Commissioner (Appeals), New Delhi vide Order dt. 18.10.2000 dismissed their appeal upholding the order passed by the Original Authority.
3. The present appeal and the Stay Petitions are against the above order of Commissioner (Appeals). the appellants are not present despite notice sent to them on 30.3.2001 by the Registry of CEGAT. There is no communication from the appellants either requesting for an adjournment of giving the reasons for their absence. I therefore, proceed to decide the Stay Petition of the party on the basis of the documents on record. I have heard Shri S. Kumar, JDR for the respondents and considered the submissions made before me. The appellants in their written memo of appeal have not disputed the fact relating to the excess of the finished goods and the shortage of the input material found in their stock on the visit of the Central excise officers. In view of this fact, I am of the view that the appellants have not made out a prima facie case in their favour. The appellants however, have already paid the amount of duty of Rs. 1,71,514/-. the present Stay Petition is for the penalty amount totally amounting to Rs. 39,725/-. Keeping in view the facts of the case, I direct them to deposit Rs. 15,000/- (Rs. fifteen thousand) as part of the penalty on or before 27.6.2001. On making such deposit, pre-deposit of the balance amount of the penalty shall stand waived and its recovery stayed till the disposal of the appeal.
4. The matter shall be called for reporting compliance on 28.6.2001.
(Announced and dictated in the Court)