CUSTOMS, EXCISE AND SERVICE TAX APPELLATE TRIBUNAL CHENNAI REGIONAL BENCH – COURT No. III Excise Appeal No. 41116 of 2016 (Arising out of Order-in-Original No. 18/2015(CE) dated 22.12.2015 passed by Commissioner of Central Excise, No. 26/1, Mahatma Gandhi Road, Chennai – 600 034)

Commissioner of GST and Central Excise ...Appellant Chennai North Commissionerate, No. 26/1, Mahatma Gandhi Road, Nungambakkam, Chennai – 600 034.

Versus M/s. Umashankar Alloys Pvt. Ltd. ...Respondent Plot No. 39, II Phase, SIPCOT Industrial Complex, Hosur, Krishnagiri – 635 109.

With Excise Appeal Nos. 41126 and 41127 of 2016 (Arising out of Order-in-Original No. 18/2015(CE) dated 22.12.2015 passed by Commissioner of Central Excise, No. 26/1, Mahatma Gandhi Road, Chennai – 600 034)

M/s. Umashankar Alloys Pvt. Ltd. ...Appellant Plot No. 39, II Phase, SIPCOT Industrial Complex, Hosur, Krishnagiri – 635 109.

And Mr. M. Nandakumar, Manager ...Appellant M/s. Umashankar Alloys Pvt. Ltd., 1-19A, 4^th Cross, TVS Nagar, Thally Road, Hosur – 635 109.

Versus Commissioner of GST and Central Excise ...Respondent Chennai North Commissionerate, No. 26/1, Mahatma Gandhi Road, Nungambakkam, Chennai – 600 034.

With Excise Appeal No. 41130 of 2016 (Arising out of Order-in-Original No. 18/2015(CE) dated 22.12.2015 passed by Commissioner of Central Excise, No. 26/1, Mahatma Gandhi Road, Chennai – 600 034)

Mr. V. Muthukrishnan ...Appellant Managing Director, M/s. Umashankar Alloys Pvt. Ltd., 1-19A, 4^th Cross, T.V.S. Nagar, Thally Road, Hosur – 635 109.

Versus Commissioner of GST and Central Excise ...Respondent Chennai North Commissionerate, No. 26/1, Mahatma Gandhi Road, Nungambakkam, Chennai – 600 034.

APPEARANCE:

For the Assessee : Mr. M. Karthikeyan, Advocate For the Revenue : Mr. Anoop Singh, Authorised Representative CORAM:

HON’BLE MR. P. DINESHA, MEMBER (JUDICIAL)

HON’BLE MR. VASA SESHAGIRI RAO, MEMBER (TECHNICAL)

FINAL ORDER Nos. 40188-40191 / 2026 DATE OF HEARING : 12.08.2025 DATE OF DECISION : 04.02.2026 Per Mr. VASA SESHAGIRI RAO The present appeals have been filed by M/s.

Umashankar Alloys Pvt. Ltd. (hereinafter referred to as “the Appellant Company”), along with its key managerial personnel, namely the Managing Director and the Manager, challenging a common Order-in-Original passed by the adjudicating authority (hereinafter referred to as the “impugned Order-in-Original”). The impugned order confirms allegations of clandestine manufacture and removal of excisable goods without payment of duty during the period 2009-10 to 2011-12. The Appellant Company is engaged in the manufacture of MS Ingots and is duly registered with the Central Excise Department.

1.2 Acting on specific intelligence, the Department initiated investigations against the Appellant on the allegation that the Company was indulging in suppression of production and clandestine clearance of MS Ingots without accounting for the same in statutory records and without payment of central excise duty. Searches were conducted at the factory premises of the Appellant and also at other premises connected with the alleged activities. During the course of investigation, the Department recovered and seized pen drives and electronic storage devices, computer printouts allegedly containing details of production and clearance, private notebooks, spiral pads, cash sheets and internal records, as well as certain documents recovered from third-party premises such as Prime Gold International. Statements were also recorded from various persons including employees, scrap suppliers, transporters, buyers and dealers.

1.3 On completion of investigation, a Show Cause Notice was issued to the Appellant Company proposing demand of duty of ₹2,79,48,525/- on the allegation of clandestine manufacture and removal of MS Ingots, along with interest under Section 11AA/11AB and penalty under Section 11AC, besides proposing personal penalties on the Managing Director and the Manager under Rule 26 of the Central Excise Rules, 2002. The notice also a