JUDGMENT

Brijesh Kumar, J.-The appeals indicated above, arise out of judgment and order dated 24.8.1999 passed by the Customs Excise and Gold (Control) Appellate Tribunal (For short CEGAT ), operative part of which reads as under:

"In the result we dispose of this appeal by confirming the order of the Commissioner imposing a duty of Rs. 29,65,532/- under Rule 9(2) of the Central Excise Rules, 1944 read with Section 11A of the Act, set aside that part of the order which imposed duty amount to Rs. 98,219/- and reduce the penalty to Rs.10 lakhs under Section 11AC of the Act."

Escorts JCB Ltd., the appellant in Civil Appeal No.7230/99 and respondent in Civil Appeal No.1163/2000 (hereinafter to be referred to as the assessee ) is aggrieved by the order confirming imposition of duty and levy of penalty. The Commissioner of Central Excise, appellant in Civil Appeal No.1163/2000 and respondent in Civil Appeal No. 7230/99 (hereinafter to be referred to as The Revenue ) is aggrieved by the order reducing the amount of penalty to Rs.10 lakhs as imposed under Section 11 Act of the Central Excise Act.

2. The Central Excise officers of Anti Evasion Branch, Faridabad on visit to the premis