2008 (2) TMI 112

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....e RG1 register was detected.  The finished goods, i.e. HDPE pipes of various qualities involving duty of Rs.3,75,791/-, were found short.  The assessee paid central excise duty on such shortage.  Further scrutiny of records revealed that the assessees cleared their goods, viz. HDPE pipes sprinkler irrigation, to various depots all over India, from where they finally sold to customers/dealers.  Price declaration of the finished goods was filed by the assessees and it was noticed that the assessees had charged a higher price for sprinkler coupler than declared in annexure-II.  It was also found that they were charging their customer for one more item, viz. pump connecting nipple (PCN) but duty was not paid thereon whe....

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....igation system. 2. In the light of the above, show cause notice proposing confirmation of duty already paid on finished goods found short and proposing recovery of duty of Rs.12,20,623/- on the clearance of sprinkler coupler during the period November 1996 to January 1999 and PCN during the period November 1996 to August 1998 and proposing recovery of interest and imposition of penalty and confiscation of land, plant, building, machinery etc., was issued.  The notice was adjudicated by the Additional Commissioner who confirmed the duty on shortage of finished goods and duty of Rs.9,49,880/- and Rs.2,70,743/- together with interest and also imposed a penalty of Rs.16,00,000/- + Rs.1,00,000/- upon the respondents.  He, however, ref....