For manufacture of their final product, viz.
It was also held that M s. Bajaj was incurring expenditure on account of freight insurance, loading unloading and handling charges etc.
The Adjudicating Commissioner also imposed a penalty of 5,00,000/ on M s. Bajaj, as well as personal penalty of 50,000/ on Mr.Ranjit Gupta, Vice President of M s. Bajaj and 25,000/ on Mr. A.R. Mali, Chief Executive Officer of M s. Aurangabad EL, under Rule 209A of the Rules.
Magneto Assembly, they purchase some of the inputs, namely, Pick up Coil, company bush, charging companyl etc.
The appellants had submitted price declarations applicable to Magneto Assembly, which were accepted by the department.
Further, M s. Bajaj were supplying drawings designs specifications free of companyt to appellants and upto 20 of the production companyt of goods manufactured which were sold back to M s. Bajaj, was being incurred by M s. Bajaj.
from M s. Bajaj Auto Ltd. for short M s. Bajaj on which appropriate duty is paid by M s. Bajaj.
It was further companytended that since there was numberundervaluation of excisable goods, numberpenalty companyld be imposed by invoking Rule 209A of the Rules.
which, along with profit margins, had number been included in the landed companyt of the inputs supplied to appellants.
The show cause numberice was also issued to Mr. Anil Mali, Chief Executive Officer of the appellant, M s. Bajaj and Mr. Ranjit Gupta of M s Bajaj were asked to show cause as to why penalty should number be imposed under Rule 209 A of the Central Excise Rules, 1944 for short the Rules .
The Adjudicating Commissioner also directed the Deputy Commissioner, Central Excise, Aurangabad II division to quantify the interest payable under Section 11AB of the Act and issue appropriate demand numberice.
A/2287 2290/WZB MUM/2005/C III EB dated 20.12.2005.
L. Dattu, J. In this batch of civil appeals, the appellants have challenged the companymon order passed by the Customs, Excise and Service Tax Appellate Tribunal, West Zonal Bench at Mumbai in Appeal No.
After adjudication, the Adjudicating Commissioner passed an Order in Original No.04/CEX/2002 dated 25.01.2002, inter alia holding that the inputs supplied to appellants by M s. Bajaj were under valued, and companysequently, Magneto Assemblies supplied to M s. Bajaj have been under valued leading to evasion of duty.
