- (1.) The appellant carries out the activities of processing dry fruits, peanut and are also carrying out activities of clearance of wheat dalia, rice flips, roasted and spiced channa and channa dal which are being cleared in different pouches bearing brandname Yum Yum and SKB which are packed cartons.
(2.) Since the appellant had not disclosed the material facts of the manufacture of excisable goods in any manner to the Department with an intent to evade central excise duty, a show cause notice dated 24.4.1998 was issued to the appellant. After the reply having been filed by the appellant, the Additional Commissioner vide Order in Original No.81/98 dated 24th December 1998 confirmed the demand of central excise duty; imposed penalty besides confiscating the seized goods and ordered redemption of goods on payment of redemption fine of Rs.35,000/- in lieu of confiscation. The Addl. Commissioner also imposed a penalty of Rs.15,000/- on Sh. Sudhir Kumar, Director of the appellant-company. The appellant, being aggrieved, filed an appeal before the Commissioner (Appeals) which was rejected vide order dated 12th February 2001.
(3.) The appellant thereafter filed an appeal before the Tribunal on the grounds, inter alia, that the activities carried on by the appellant did not amount to manufacture; that the products remained nuts and are not known by any other name in the trade parlance and, therefore, it cannot be held that they were subjected to any preparation which may bring them into the mischief of duty of excise. The Tribunal negatived the plea raised by the appellant and confirmed the order in original but reduced the amount of penalty.;