CUSTOMS, EXCISE & SERVICE TAX APPELLATE TRIBUNAL New Delhi ~~~~~

PRINCIPAL BENCH – COURT NO. 3 Excise Appeal No. 51170 of 2020 [Arising out of Order-In-Appeal No. 90/Central Tax/Appl-II/Delhi/2019 dated 30.09.2019 passed by the Commissioner (Appeals)-II CentralGST, EIL Annexe Building, New Delhi]

Gripple Hanger & Joiner Systems India Pvt Ltd : Appellant (s)

C-115, Ground Floor, Naraina Industrial Area, Phase-I New Delhi 110028 Vs Commissioner of CGST, Delhi South : Respondent (s)

EIL Annexe Building, Bhikaji Cama Place South Delhi, New Delhi 110066 APPEARANCE:

Shri S.C. Kamra, Advocate for the Appellant Shri Rakesh Agarwal, Authorized Representative for the Respondent CORAM :

HON’BLE MR. ASHOK JINDAL, MEMBER (JUDICIAL)

HON’BLE MR. P. ANJANI KUMAR, MEMBER (TECHNICAL)

FINAL ORDER NO. 50888/2025 Date of Hearing:08.04.2025 Date of Decision:05.06.2025 P.ANJANI KUMAR:

The appellants, M/s. Gripple Hanger filed the present appeal against Order-in-Appeal dated 30.09.2019 passed by the Commissioner of Central GST (Appeals-II), Delhi.

2. Briefly stated the facts of the case are that the appellant is engaged in supply of wire rope hangers with the brand name “Gripple” and have classified the same under CETH 7312.10; the appellant got registered with the Central Excise Department on 11.04.2013; the Revenue conducted an audit of the records of the appellant, in the month of August,2015, for the period 2013-14 and 2014-15; Audit team observed that the appellant had crossed the threshold limit of Rs.1.5 cr. during the initial period 2011-12 and 2012-13 but did not make any payment of central excise duty on clearance of wire rope hangers with accessories; an Audit Memo dated 27.08.2015 was issued to the appellant asking for certain documents and advising the appellant to deposit excise duty on clearances made during the period 2011-12 and 2012-13; the appellant did not deposit the duty; Audit forwarded the information to Anti Evasion Branch, who visited the premises of the appellant on 16.09.2015 and searched the premises of the appellantand resumed certain records / documents. The anti- Evasion Officers entertained an opinion that the appellant was manufacturing wire rope hangers in their premises with the help of machines and that the appellant neither got registerednor maintained the statutory records nor paid appropriate excise duty, after crossing exemption limit during the period 01.04.2011 to 30.04.2013; the appellant deposited an amount of Rs.20,00,000/- on 17.09.2015 during the investigation; towards payment of excise duty liability.

2.1. On completing the investigation, a Show Cause Notice dated 07.10.2016, seeking to confirm demand excise duty of Rs.62,45,922, alongwith interest and penalty, covering the period April,2011 to April,2013, was issued. Subsequently, two more Show Cause Notices dated 14.08.2017 and 29.01.2019, demanding Excise Duty of Rs 1,11,72,972 and 63,65,904, along with interest and penalty, covering the periods 01.01.2016 to 31.12.2016&01.01.2017 to 30.06.2017, respectively were issued to the appellants. The Additional Commissioner, CGST, Delhi South passed a combined order, 24.04.2019, confirming the entire demand of Rs. 2,30,85,412, with a penalty of Rs 55,46,536 under Section 11AC of Central Excise Act,1944. On an appeal filed by the appellants, Commissioner (Appeals), vide impugned order dated 30.09.2019, upheld theorder passed by theoriginal authority.

3. Shri S.C. Kamra, Learned Counsel for the appellants submits that the appellants importedsteel wire rope in running length and locks of various sizes from foreign suppliers; they procured Stud – 20 mm/45 mm /50mm thread, Anchor (fastener), Hang Fast Hooked stud and Ferrule (of aluminum) domestically and supplied to their customers;

the appellant undertake the following processes:

 Loading of Roll of steel wire rope (twisted) onto the reeling machine and feeding the same into cutting and fusing machine.

 the cutting machine cuts the wire rope into the required length andf