9911796707
TMI Blog2016 (10) TMI 645X X X X Extracts X X X X X X X X Extracts X X X X ..... ilizing their account current and various penalties imposed on the appellants, Aggrieved with the said order, the appellants are before us. 2. The facts of the case are that by an order dated 24.9.2001 in terms of Rule 8 of Central Excise Rules, 2001, the facility of fortnightly payment of duty and payment through RG 23A Part II for a period two months or till the deposit of defaulted amount which ever later was withdrawn. Intelligence was gathered that the appellant have started paying duty by manipulating the credit in the PLA account without actually depositing any amount in the bank It revealed that the appellant has cleared the goods involving duty amounting to Rs. 38 lakhs by showing paying of duty an amount of Rs. 10,90,000/-by debi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n in account current on TR-6 challan and an amount of Rs. 1,69,38,241 has been utilized by the appellant from their cenvat credit account for payment of duty. Consequently, the said amount also sought to be demanded. In these set of facts, the show cause notice was issued and the same was adjudicated, the demand of duty alongwith interest were confirmed as the appellant already paid the said amount in dispute the same was appropriated. A penalty equal to the duty demanded was confirmed against the main appellant and various penalties on co- appellant were also imposed. 3. Shri Kamaljeet Singh, Advocate, learned Counsel for the appellant submitted that vide order dated 24.9.2001 the facility of fortnightly payment of duty and payment throug ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nt of duty by the appellant is to be denied. Consequently, the demand of Rs. 1,69,38,241/- is rightly confirmed by the adjudicating authority. He further submits that the appellant has taken fraudulent credit in their PLA account without supplying the copy of their TR-6 therefore, penalties are imposable on the appellants. 5. Heard the parties and considered the submissions. 6. On careful consideration of the submissions made by both sides, we find that vide order dated 24.9.2001 in terms of Rule 8 of Central Excise Rules, 2001 the facility for fortnightly payment of duty and payment of duty for a period of two months or till the deposit of defaulted amount which ever was later. We have seen that the appellant has paid whole o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... payment of duty Rs. 1,63,00,000/- alongwith interest and have admitted the same, in that circumstance, the issue before us is to be considered for imposition of penalties on the appellants. The sole contention of the appellant is that they were receiving the communication from their head office with regard to the payment of duty through TR-6 challan telephonically wrongly and therefore, they have taken the credit i.e .due to mistake of the concerned official. In that circumstance, the penalty is not imposable. We find that although there may be mistake of the appellants but the appellants cannot take the benefit of the same as they have taken the credit in the PLA without making payment. In the circumstances, we are of the view that the pen ..... X X X X Extracts X X X X X X X X Extracts X X X X
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