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2016 (1) TMI 1012 - AT - Central ExciseBenefit of Exemption Notf No. 182/87-CE dt 10/7/87 denied - manufacturing of Coal Tubs in the mines. - demand confirmed - Held that:- Appellant is a public sector undertaking and it is not ethical on their part now to agitate the time bar aspect afresh after conceding the same before us in the earlier proceedings. Reliance by the appellant on the Apex Court’s case law in the case of Union of India Vs Madhumilan syntax Ltd (2006 (2) TMI 170 - SUPREME COURT OF INDIA ) is misplaced because the order passed by the Apex court was as a result of a writ petition against an order of the lower authorities without affording any opportunity to the assessee. In the present case before us the concession was given after the adjudicating authority decided the case after following the principles of natural justice and the case was argued at length before this bench before remand order dt 1/5/2000 was passed. Therefore, the ratio laid by Hon’ble Apex Court is not applicable to the present factual matrix when appellant is a Public Sector undertaking and principles of natural justice have not been violated earlier. In view of the above observations appeal filed by the appellant on the grounds of limitations again, when not even agitated before the Adjudicating authority in remand proceedings, can not be entertained & is required to be dismissed. So for as imposition of penalty upon the appellant is concerned in this case it is a case of imposing penalty under Rule- 9 (2), read with Rule-173 Q, of the erstwhile Central Excise Rules 1944. Appellant being a large company did not bother to check whether duty liability got attracted during the relevant period. It is now a well understood legal proposition that ignorance of law is no excuse. However, looking to the facts on record and appellant being a Public Sector Undertaking we are of the opinion that penalty of ₹ 10 lakh, imposed upon the appellant, is excessive we accordingly reduce this penalty from ₹ 10, lakh to ₹ 10,000/- (Ten thousand only)
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