Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2018 (9) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2018 (9) TMI 451 - AT - Central ExcisePenalty u/r 26 of CER - Clandestine manufacture and removal - goods were removed without documents and without payment of duty - case of appellant is that they are not the manufacturers and the details of the manufacturers are given, whose statements were recorded by the authorities but no further investigation was taken up, that they are not liable to pay any duty nor penalized under rule 26 of Central Excise Rules, 2002. Held that:- There is no dispute as to the fact that fully manufactured fans packed in cartons were found in the godown premises of the appellant, consignment notes were issued for the consignments loaded in the trucks mentioning the name and the destination, appellant could not produce any invoice, way bills issued by the consignors or the manufacturers covering the material. Despite given an opportunity to produce the documents which would indicate that appropriate central excise duty has been paid on these fans, appellant could not do so - The show cause notice itself directed the appellant to produce any documents while defending the case, as made in the show cause notice for imposition of penalty under rule 26. Appellant could not do so. Rule 26 would apply directly in the case in hand, as appellant is the person who acquired the possession of goods and were concerned with depositing or keeping the fans on which admittedly duty liability was not discharged - appellant has no case for praying for setting aside the penalties imposed under rule 26. However, the penalty imposed on the appellant seems to be excessive, and thus the quantum is reduced. Appeal disposed off.
|