JUDGMENT
P.S. Bajaj, Member (J)
1. All the appeals and stay applications are being taken up together as the facts and the law involved are common. Moreover, the appeals have been preferred against the common Order-in-Appeals. The appellants have already made pre-deposit of the certain penalty amounts, as detailed in the impugned orders, before the Commissioner (Appeals). Therefore, the pre-deposit of the balance penalty amount is waived and recovery stayed till the disposal of the appeals.
2. I have heard both sides on merits also. The learned counsel has not contested the impugned order on merits vide which the confiscation of the goods found lying in the factory premises of the appellants, M/s. Aggarwal Zarda Factory Pvt. Ltd., and of the traders M/s. Aftab Traders & M/s. S.K. Traders, by the Officers of the Central Excise during the raid of their premises, has been upheld. The adjudicating authority imposed redemption fine of Rs. 35,000 in respect of the goods seized from the factory premises and of Rs. 35,000 regarding the goods seized from the duty paid godown of the appellants M/s. Aggarwal Zarda Factory Pvt. Ltd. The authority also imposed another redemption fine of Rs. 35,000 on the goods seized from the another unit of their factory. The learned Commissioner (Appeals) has set aside the confiscation of the part of the goods without reducing the redemption fine.
3. Similarly, in respect of the goods seized from the trading premises of M/s. Aftab Traders (appellants) and M/s. S.K. Traders, the redemption fine of Rs. 40,000 was imposed by the adjudicating authority, but the Commissioner (Appeals) has set aside the confiscation qua, M/s. S.K. Traders, and also released part of the goods of M/s. Aftab Traders also from seizure, without reducing the redemption fine. Keeping in view the facts and circumstances of the case, in my view, the redemption fines imposed are exorbitant for the simple lapse of non-accountal of the goods, especially when the goods were lying in the factory premises/trading premises of the appellants. Therefore, the redemption fine of Rs. 35,000 is reduced to Rs. 15,000 (rupees fifteen thousand only) and of Rs. 75,000 to Rs. 20,000 (rupees twenty thousand only). However, the redemption fine of Rs. 3,500 imposed on the goods seized from the godown of M/s. Aggarwal Zarda Factory Pvt. Ltd. is maintained being quite reasonable. The redemption fine on the goods seized from the trading premises of M/s. Aftab Traders, appellants, is, however, reduced to Rs. 15,000 (rupees fifteen thousand only).
4. The confirmation of the duty of Rs. 29,438 on the appellants, M/s. Aggarwal Zarda Factory Pvt. Ltd., by the learned Commissioner (Appeals) has not been contested by the learned counsel and the same is upheld. However, keeping in view the facts and circumstances of the case, the penalty is reduced to Rs. 15,000 (rupees fifteen thousand only) under Section 11-AC, but penalty under Rule 173-Q is set aside. The personal penalty imposed on Mr. Subhash Aggarwal, appellant, Director of M/s. Aggarwal Zarda Factory Pvt. Ltd., is also reduced to Rs. 20,000 (rupees twenty thousand only) which will be adjusted from the amount pre-deposited by the appellants.
5. Similarly, keeping in view the facts and circumstances of the case, the penalty imposed on M/s. Aftab Traders, appellants, is reduced to Rs. 10,000 (rupees ten thousand only). Except for the above mentioned modifications, the impugned order is otherwise upheld. The appeals of the appellants stand disposed of accordingly.