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2009 (8) TMI 442 - AT - Central ExciseClassification- - Demand for Rs.4,66,90,279/- in respect of clearances of various petroleum hydrocarbon solvents during the period August 1998 to 24-1-2000, has been confirmed against the appellant M/s. Avani Petrochemicals along with interest as applicable. Penalty of equal amount has also been imposed under Section 11AC of CEA, 1944. Penalty of Rs.10 lakhs has been imposed on Managing Director and land, buildings, plant and machinery have been confiscated and allowed to be redeemed on payment of fine of Rs.5 lakhs. The appellants are challenging this order, which has been issued on the ground that the petroleum hydrocarbon solvents manufactured by the appellant are classifiable under Chapter sub-heading 2710.19 of First Schedule to CETA, 1985. Held that- In the absence of specific test report in support of the product and in view of the fact that the admittedly even at the time of visit of the officers, samples were not available facilitating the test for suitability of product for use in spark ignition engine, the Commissioner’s order cannot be sustained. In view of the above, the demand cannot be sustained and consequently the penalties imposed upon the appellant-company as well as Managing Director also cannot be sustained. Accordingly, the impugned order is set aside and the appeals are allowed with consequential relief to the appellants.
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