1994 (5) TMI 74

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....of hearing. I find that adjudicating authority has passed a fair and sustainable order. Taking into account the totality of the facts I reduce the personal penalty to Rs. 2.000/- only. The impugned order is otherwise upheld." The order-in-original was passed by the Dy. Collector who had held, "I hold that the allegations levelled in the show cause notice are correct. The party had removed the goods i.e. 216.889 MT without payment of duty in contravention of Rules 9(1), 52A, 173Q of Central Excise Rules, 1944. I therefore, order that the duty payable on these goods amounting to Rs. 83,153.66 shall be paid forthwith. I also confiscate 17.881 MT of M.S. Ingots which have not been accounted for in RG-1 register but allow the party to redeem the....

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....e and rejected Ingots were being sent for re-melting under the third proviso of Rule 9(1) for the Central Excise Rules, l944; that in spite of the fact that the production is recorded on estimated average basis, variation has been estimated only 216.889 MT; that this variation was of very minor nature, in view of the fact that the total production during the period was 21147.588 MT; that the variation works out to only 0.8%; that the factory had started manufacturing sometime in March, 1987 and no reconciliation was done on actual weighment basis as the unit was new; that the excess was also because of the method of accounting used inasmuch as there were some rejects and small pieces of Ingots obtained by pouring the hot metal into Moulds b....

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....ted that the appellant had contended that the production was being recorded on the basis of average estimation of weight; that the same method of estimation of weight was adopted by the verifying officers and therefore the difference in weight is not erroneous but must be actual; that Shri Naidu in his statement submitted that there was no weigh-bridge and therefore the actual weighment for recording the production was not being done; that now the appellant has come with the contention that they had a weigh-bridge in the factory. In support of their contention that the goods were being cleared after actually weighing them that this contention of the appellant may not be accepted now; that the shortage and excess in the two varieties of Ingo....