Per C.N.B. Nair :

The appeal is directed against order-in-original No. MP (287/94) 1401 -1996 dated 27.5.96 passed by the Commissioner of Customs and Central Excise, Allahabad. Under the said order the Commissioner rejected the application of the appellant for remission of Central Excise duty of about Rs. 95,000/- and confirmed duty demand of the same amount. He also imposed a penalty of Rs. 50,000/- on the appellant under Rule 173Q of Central Excise Rules, 1944.

Brief facts of the case leading to the above order are that the appellant is a manufacturer of plastic products like HDPE woven sacks and HDPE fabrics. On 13.12.89 a fire broke out in the appellant's premises and destroyed the stock of manufactured goods. The duty involved on such goods was about Rs. 95,000/- on 15.12.89 the appellant informed the Jurisdictional Central Excise authorities about the fire accident. Subsequently, on 5.4.90 the appellant filed an application before the-Jurisdictional Supdt. for remission of duty under Rule 49 of the Central Excise Rules. Some more correspondence took place including with the Collector of Central Excise. Show cause notice dt. 4.10.94 was issued proposing to reject the applic