TMI Blog2013 (11) TMI 953X X X X Extracts X X X X X X X X Extracts X X X X ..... ear violation of rules with intent to evade payment of excise duty on final products manufactured (by paying such duty through fraudulent credit) - This duty liability is not on the second stage dealer - the situation will be covered by Rule 25 (d) and also in respect of non-duty paid goods supplied to the manufacturer under invoice showing duty payment - both the goods were liable to confiscation. The reason that the goods were not available to confiscation should not be a reason to avoid penalty - the Hon’ble High Court of Punjab and Haryana has held that penalties can be imposed in such cases under Rule 25 of the rules as it existed at that time – Decided against Assessee. - E/00363/2012 and E/00378/2012 - Final Order No.40443-404 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r submits that imposition of penalty under Rule 26(2) was inserted on 01.03.2007 and, therefore, the same would not be applicable in the present case. 4. The learned Authorised Representative for the Revenue submits that the Tribunal on similar facts in the case of M/s. Amex Alloys Pvt. Ltd. Vs Commissioner of Central Excise (Service Tax), Coimbatore vide Final Order Nos.40203-40205/2013, dated 06.03.2013 rejected the appeals filed by the assessee. He submits that the Tribunal in the said case had given a detailed finding of the applicability of Rule 25 on the dealers. 5. After hearing both sides and on perusal of the records, I find that it has been alleged that appellant no.1 availed CENVAT credit on non-duty paid scrap received under ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and a second stage dealer also has to issue proper invoices showing true particulars. This has not been done in this case. So, there is a contravention of Rule 25 (a) in respect of duty paid goods supplied to Units not availing Cenvat credit. In respect of non- duty paid goods cleared to the manufacturers under invoice showing duty payment there is a clear violation of rules with intent to evade payment of excise duty on final products manufactured (by paying such duty through fraudulent credit). This duty liability is not on the second stage dealer. But, still in my view, the situation will be covered by Rule 25 (d) and also in respect of non-duty paid goods supplied to the manufacturer under invoice showing duty payment. So, both the goo ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
