ORDER
Krishna Kumar, Member (Judicial)
1. Shri Sanjay Bhargave, learned Chartered Accountant appearing on behalf of the appellants submitted that there is no dispute with regard to receipt of the goods in the factory. He also submitted that in the party’s own case for subsequent period involving the same issue, the Dy. Commissioner has dropped the proceedings. As such, his contention is that the proceedings in the present case should also have been dropped which has not been done and the lower authorities have failed to record any finding on the said order.
2. Shri B.B. Sarkar, learned J.D.R. appearing on behalf of the Revenue contended that the Commissioner (Appeals) at Para 5 of his order have interalia recorded as under:-
(i) no certificate in respect of diversion of consignment from the customer’s end was obtained by the customer from the jurisdictional Range Superintendent.
(ii) after receipt of material from M/s. Tejas Tekniplast Pvt. Ltd., Surat, the appellants have also not bothered to keep the said consignment separately for physical verification of the concerned range superintendent.
(iii) the rejected goods should be returned to M/s. Finolex Ltd. Ratnagiri unit, who was the consignor and has to follow the proper procedure available under Rule 173H or Rule 173L only after remaking reprocessing etc. the goods can be cleared to Finolex Inds. Pune as the goods have been rejected.
3. The learned J.D.R. therefore contended that since the appellants have failed to follow the procedure as mentioned above. The appellants are not entitled for any relief.
4. After hearing both sides and perusal of the records, I find that when for a subsequent period in the party’s own case, the demand has been dropped, no reasons are forthcoming for sustaining the demand for the present period.
4. I, therefore, find that the applicants have been able to make out a prima facie strong case in their favour for waiver of pre-deposit of duty and penalty. I, accordingly, dispense with the pre-deposit of duty and penalty and stay recovery thereof during the pendency of the appeal. The appeal to come up for regular hearing on 29/07/2003.
(Pronounced in Court)