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2012 (10) TMI 871 - CESTAT, AHMEDABADExcess quantity sugar as compared with the daily stock account - sold to the shareholders at concessional rate - confiscation of sugar allowed to be released on payment of fine and penalty equal to duty involved - Held that:- There was a clearance of 2500 quintals of sugar under one invoice and unfortunately the invoice is illegible and it could not be made out in whose name the invoice has been made. However, entire quantity of 2500 quintals of sugar has been cleared on payment of duty - the appellants have been very consistent in submitting that quantity of 2500 quintals of sugar was meant for sale to the share holders at concessional rate and 1500 quintals has been sold as such and 1000 quintals remained, the benefit of doubt in the absence of proper investigation has to go to the assessee. As the offence has to be treated as one of procedural irregularity and penalty equal to duty was not warranted - thus in the facts and circumstances of the case, the payment of duty on the goods and non-claiming of refund of the same, penalty under Rule 25 for procedural irregularity will be sufficient and since excess sugar was lying and subsequently cleared on payment of duty, redemption fine also is not warranted. The penalty of Rs.5,000/- u/r 25 would meet the ends of justice, while upholding the demand for duty on 1000 quintals of sugar found excess during the visit of the officers and accepting the submissions made by the assessee that no refund of duty will be claimed - partly in favour of assessee.
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