2011 (11) TMI 564

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....the Appellant. Shri Y.K. Agrawal, Addl. Commissioner (AR), for the Respondent. ORDER Heard both sides. The appellants filed this appeal against the impugned order passed by the Commissioner of Central Excise whereby a demand of duty of Rs. 34,80,214/- is confirmed with interest and penalty of equal amount is imposed under Section 11AC of the Central Excise Act, 1944. 2. The procee....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....and the appellants were clearing the goods at the weighted average price of the goods cleared to independent buyers. There is no evidence on record to show that the appellants or the so-called sister concerns are related persons. As the dealings are at arms length therefore it cannot be said that the appellants had suppressed the value of the goods with intent to evade payment of duty. Hence the d....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....is for the period October, 1996 to June, 2000. During this period appellants were clearing the same goods at a higher value to independent buyers than cleared to their subsidiary units. This fact is not in dispute. The appellants were paying duty on the goods cleared to their subsidiary units at the weighted average price which was lower than the value charged to independent buyers. In these circu....