Hon'ble Judges/Coram:
S.L. Peeran (J) and T.K. Jayaraman (T), Members

ORDER

T.K. Jayaraman, Member (T)

Final Order Nos. 1652 to 1656/2006

1. These appeals have been filed against the OIO No. 1/2005 dated 11.01.2005 passed by the Commissioner of Central Excise & Customs Belgaum.

2. The main appellant is M/s. Jindal Praxair Oxygen Company Limited., (known as JPOCL), Toranagallu. They manufacture gaseous and liquid Oxygen, Nitrogen and Argon which are excisable. M/s. JPOCL is a joint venture of M/s. Jindal Vijayanagar Steel Limited (known as JVSL), Toranagallu and M/s. Praxair Pacific Limited (known as PPL), Mauritius. The holding of PPL is 76% and that of JVSL is 24% in the joint venture. The unit was formed in 1995 and it commenced its production w.e.f. August, 1998. M/s. JPOCL is clearing about 95% of its production to M/s. JVSL. The remaining 5% is cleared to M/s. Praxair India Pvt. Ltd. a fully owned and 100% subsidiary of M/s. PPL. Revenue conducted certain investigations into the affairs of the appellant unit and came to the conclusion that they were indulging in under valuation of their final products. Show Cause Notice dated 1.08.2000 was issued for demand of duty to the tune of Rs. 14,63,51,143/- in the following manner:

i)	Differential duty as a result of revision of gas prices during the period from 06/99 to 2/2000 (Annexure-I &II)	Rs. 5,22,47,703.00
ii)	On account of receipt of additional consideration in the form of power free of cost/at concessional rate etc. during 5/99 to 2/2000 (Annexure-III & IIIA)	Rs. 8,64,68,553.00
iii)	On account of receipt of additional consideration in the form of MTOP during the period from 10/99 to 2/2000 (Annexure-IV)	Rs. 76,34,887.00
	Total:	Rs. 14,63,51,143.00

The extended period under proviso to Section 11A was invoked in the Show Cause Notice. After considering the submissions of the appellants, the then Adjudicating Authority passed an Order-in-Original No. 3/2001 dated 27.02.2001. The gist of the above order is given below:

(i) Confirmation of duty of Rs. 14,63,51,143/-

(ii) Appropriation of Rs. 3,04,71,194/- already paid by the appellants under 'protest' under Rule 233B of CE Rules, 1944.

(iii) Penalty of Rs. 14,63,51,143/- under Section 11AC.

(iv) Demand of interest under Section 11AB on the duty confirmed.

(v) Penalty of Rs. 1,00,00,000/- on M/s. JPOCL under Rule 173Q(1).

(vi) Penalty under Rule 209A on the following persons:

a) Rs. 1,00,00,000/- on Shri Sajjan Jindal, Chairman, M/s. JPOCL.

b) Rs. 50,00,000/- on Shri Inderjeet Mookerjee, Non-Executive Director, M/s. JPOCL.

c) Rs. 25,00,000/- on Shri Raaj Kumar, Managing Director, M/s. JPOCL.

d) Rs. 25,00,000/- on Shri V.S. Kumar, General Manager (Finance), and Company Secretary, M/s. JPOCL.

Aggrieved by the above order, the appellants approached the CEGAT. The GEGAT passed the Final Order No. 1421 to 1425/2002 dated 08.11.2002 remanding the case for de novo adjudication. Both the Members passed separate orders. The........