9911796707
TMI Blog2016 (3) TMI 563X X X X Extracts X X X X X X X X Extracts X X X X ..... of CEA, 1944, imposed personal penalty of Rs. 2,00,000/- on Shri. Sharad B. Shah, Director of M/s. Crescent Components (P) Ltd under Rule 209A of Central Excise Rules, 1944 and also ordered for recovery of appropriate interest under Section 11AB. 2. The fact of the case is that the appellants are engaged in the manufacture of goods viz. Springs & Sheet Metal components since 14/9/1993. The appellants have filed a declaration under Notification No. 13/92(NT) dated 14/5/1992 claiming exemption (i) under Notification No.1/93 CE dated 28/2/1993 and (ii) from Licensing control. The appellants in their Classification Lists/Declarations filed from time to time under Rule 173B of Central Excise Rules, 1944, after obtaining Central Excise registra ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... with them regarding the end use of the product. 2.2 Appellants on being informed by the Deptt. started paying higher duty under the protest on the product Grill Assembly and Back Grill under Chapter heading 8415.00 FROM 13/10/1995. The said goods were manufactured as per the drawings/specifications of the party(i.e. M/s. Voltas Ltd) and since those were tailor made items these could find end use only as parts of "Air Conditioners" or Parts of compressors of Room Air Conditioners under Chapter sub-heading 8415.00 and 8414.91/8414.92 with different rates of duty as applicable. 3. On the basis of above investigations, the show cause notice F. No. C.Ex./PI/MD/CC/case/96 dated 9/9/1998 was issued to the appellant. Appellant aggrieved by th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ctured by the appellant. The Range Superintendent had visited the factory on 22/9/1995 and directed the appellant to re-classify the grills under sub-heading 8415.00 leaving the other products in the classification list unchanged. He had also on 17/10/1995 drawn samples of four products duly sealed in the presence of the appellant. None of these classification lists was disputed by the department. He submits that their monthly RT 12 returns were approved from April 1996 onwards confirming the classification of the products under sub-heading Nos. 7326.90 and 7318.90. Appellants factory was also audited on 5/11/1996 and there were no objections raised neither on the classification of the product nor the exemptions claimed by the appellant. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the findings of the impugned order. 6. We have carefully considered the submission made by both sides. On hearing and perusal of records, we are of the view that the appeal can be disposed of on the issue of limitation itself. Hence we are passing this order without going into merit of the classification issue of the products in question. 6.1 We find that the show cause notice dated 09.09.98 was issued for the period 14.09.93 to 31.03.97 i.e. entire demand raised is for the period before one year of the issue of show cause notice. Hence the total demand is covered under extended period as provided in the first proviso to Section 11A of Central Excise Act, 1944. From the records, it is revealed that the goods in question manufactured by th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... such as washers, springs and other articles of steel manufactured by them are classifiable in the specific tariff entry given therefor. We find that the bonafide belief of the appellant for classification of the goods can not be doubted in view of the above undisputed facts. The Ld. Adjudicating Authority should not have invoked the extended period as there is no suppression of the facts on the part of the appellants. The entire demand, therefore, is hit by limitation. The judgments on the identical facts and law point on classification of Refrigerator Parts in the case of R.B. Precision Components (supra) directly supports the Appellant's case also as in the said judgment this Tribunal held that Interpretation of Board Circular regarding c ..... X X X X Extracts X X X X X X X X Extracts X X X X
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