TMI Blog2014 (8) TMI 136X X X X Extracts X X X X X X X X Extracts X X X X ..... ed for and is incorrect appreciation of the law - for the imposition of penalty under Rule 25 in a given circumstance, requirement of Section 11AC as to mis-statement etc., needs to be satisfied. As the Adjudicating Authority has himself recorded that there is no intention of evade duty, visiting the appellant with penalty is totally uncalled for - Following decision of Saurashtra Cements Ltd (2010 (9) TMI 422 - GUJARAT HIGH COURT], Harsh Silk Industries (2013 (6) TMI 83 - GUJARAT HIGH COURT) and Mahalaxmi Profiles [2012 (9) TMI 706 - ANDHRA PRADESH HIGH COURT] - Decided in favour of assessee. - Appeal No : E/11652/2014-DB - ORDER No. A/11173/2014 - Dated:- 17-6-2014 - Mr. M.V. Ravindran and Mr. H.K. Thakur, JJ. For the Appellant : ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ent of differential duty of ₹ 51,42,320/-. The interest payable thereon is computed to ₹ 2,74,374/- by the audit team, which is enclosed as Annexure A to the Show Cause Notice. The assessee have now paid the interest amount vide Challan No. 04/12-13 dated 28.2.2013. 5. A Show Cause Notice was issued to the appellant directing them to show cause as to why the said amount paid by them should not be appropriated and why the penalty under Section 11AC be not imposed on them. The adjudicating authority, after following the due process of law imposed the penalty under Rule 25 of the Central Excise Rule 2002 and appropriated the amount paid by the appellant towards duty and interest. 6. Ld. Counsel appearing on behalf of the appe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... enalty under Rule 25 of the Central Excise Rule 2002 without recording any findings or reasonings for such imposition of penalty under the said rule. Adjudicating authority has in his impugned order at Para No 16 specifically records: I, therefore, find that though there was a short payment of duty there was no wilful misstatement etc. and there was no intent to evade duty. The duty short paid was paid by the assessee on their own. On being pointed out by the Audit, appropriate interest was also paid. Assessee is not seeking any refund. Therefore, extended period cannot be invoked. I agree respectfully with the judgements cited by the notice as mentioned above. Therefore, there cannot be any penalty under Section 11AC of Central Excise A ..... X X X X Extracts X X X X X X X X Extracts X X X X
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