JUDGEMENT

(PER : HONOURABLE THE ACTING CHIEF JUSTICE MR. VIJAY MANOHAR SAHAI)

1. We have heard Mr.Y.N.Ravani, learned advocate for the appellant. Though rule has been served on the respondent, no one appears on behalf of the respondent.

2. While admitting this appeal on 23.06.2009, the Court had formulated the following substantial questions of law:

“1. Whether non-accountal of manufactured goods and raw material in statutory registers i.e. RG1 and RG23, is in violation of Rules 173G(4), 173H, 173H( 2)(a) of the Central Excise Rules, 1944, and it would attract penalty and confiscation?

2. Whether the statement of the assessee recorded under Section 14 of the Central Excise Act, 1944 having confession of nonmaintenance of statutory registers is sufficient for imposition of penalty as well as confiscation of the goods?”

3. The Assistant Commissioner of Central Excise and Customs has imposed redemption fine of Rs.85,000/- in lieu of confiscation of the seized goods and has imposed demand of Central Excise Duty amounting to Rs.23,270/- on the finished goods and Rs. 31, 418/- on raw material and also has imposed a penalty of Rs.54,688/- as wel