Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2022 (5) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2022 (5) TMI 906 - AT - Central ExciseLevy of penalty - appellant had paid the duty with interest even prior to issuance of the Show Cause Notice - suppression of facts or not - intent to evade duty or not - HELD THAT:- The appellant paid the duty with interest even prior to issuance of Show Cause Notice. If that is so, the authorities had no jurisdiction to initiate proceedings at all and consequently the question of payment of penalty would not arise at all. The Ld.Commissioner(Appeals)’s observation that had the department not pointed out the discrepancy the deficit amount would not have been paid, is an inference not supported by allegation in the notice nor any evidence leading to the conclusion that the Appellant had suppressed the facts. In these circumstances the penalty imposed under Section 11AC of the Central Excise Act, 1944 read with Rule 25 of Central Excise Rules, 2002, cannot be sustained and is therefore set aside. The impugned order-in-Appeal is set aside to the extent of confirmation of penalty - Appeal allowed.
|