2015 (9) TMI 246 - AT - Central Excise

Waiver of pre deposit - Penalty in terms of provision of Rule 26 of Central Excise Rules 2002 - issue of invoices without the corresponding supply of inputs - Held that - Rule 26(2) was introduced with effect from 01.03.2007 making a provision for imposition of penalty on manufacturers/supplier of the goods where only they raised invoices without the issuance of respective goods sent under the invoices. The period involved in the present petitions is prior to 01.03.2007. An identical issue was considered by the Tribunal in the case of Shri Ram Bilash Bansal Vs/ CCE Chandigarh wherein under identical circumstances the stay was granted 2009 (6) TMI 771 - CESTAT NEW DELHI . Accordingly by following the same I dispense with the condition of pre-deposit of penalties imposed upon both the applicants - Stay granted.

Summary

The judgment by Appellate Tribunal CESTAT NEW DELHI in 2015 waived pre-deposit penalties of Rs. 2 lakh and Rs. 1 lakh on the applicants for issuing invoices without corresponding supply of inputs. The Tribunal considered that Rule 26(2) was not applicable for the period before 01.03.2007 and granted stay unconditionally, following a previous similar case.