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2019 (2) TMI 847 - CESTAT CHENNAIQuantum of redemption fine and penalty - removal of electric fans from factory to godown without payment of duty - contravention under Rule 25 Clause (c) and (d) of CER - Held that:- Removal from the factory to its godown is not an act of fraud, collusion, suppression etc. to evade payment of duty since, had it been sold to third parties, the same would have amounted to an act against the Government scheme. Even the Revenue has not made out any case that the goods so removed as above have been found to be diverted and thereafter to be sold elsewhere. Thus, the only infraction of removal of goods without prior permission, is only a procedural lapse, which cannot take the characteristic of clandestine removal with intent to evade duty especially, when the goods are otherwise non-marketable. The procedural breach would be best served by limiting the redemption fine to ₹ 50,000/- as well as penalty to ₹ 50,000/- - appeal allowed in part.
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