JUDGMENT :

KRISHNA MURARI, J.

1. The present appeals are directed against the final judgment and order dated 09.01.2019 passed by CESTAT, Allahabad in Order Nos. A/70266-20267/2019-EX (DB) in Appeal Nos. E/70445/2017 and E/70618/2017, whereby the Respondent’s plea was allowed.

FACTS

2. Briefly, the facts relevant for the purpose of these Appeals are as follows:

(I) The Respondent No. 1, M/s AR Polymers Pvt. Ltd. is a manufacturer engaged in the manufacture of footwear and the sale of the same to defense/paramilitary forces in bulk for their use.

(II) An intelligence was received by the DGCEI that the respondent was availing benefits under notification No. 12/2012-CE dated 17.03.2012 and Section 4(A) of the Central Excise Act, 1944, which is limited to footwear sold in retail. The said notification wholly exempts the payment of Central Excise Duty for retail sale of footwear under Rs. 500/- and limits Central Excise Duty to 6% where the rate of the footwear is between Rs. 501/- to Rs. 1000/-

(III) Acting on the abovementioned intelligence, a team of DGCEI officers visited the factory premises of the Respondent, where it was found that the respondent was manufacturing the footwear as pe